>> once the market really starts to doubt the potential for reflation, the potential for growth, that can kind of spiral out of control. >> there's always pullbacks and mini-corrections. maybe there is a correction ahead. >> i would argue the labor market is as tight, if not tighter, than any we have seen in decades. >> i am more worried about growth in 2 -- in 2022, and that is what mobile bond markets are sensing.

>> this is "bloomberg surveillance" with tom keene, jonathan ferro, and lisa abramowicz. tom: it is a tuesday simulcast, radio and television. esteemed guests coming up, particularly equity market. we look a lot of the stock market today. jon, take it out. 4700 onto 5000. that is a dow 39,000 equivalent. jonathan: thanks, tom. i'm sure they've got a dow year end price target at oppenheimer, too. not. [laughter] in the bond market, we have been talking about this broken consensus. it is in pieces after july. i wonder to what degree, to extent a consensus remains on the federal reserve as well, and whether chairman powell is really struggling here to reflect what may not exist. tom: take it back. if the yield is telling us something and the bid up in

bonds is telling us something, you flip the reciprocal and that is how you get to dow 40,000. jonathan: what is it telling us? can we agree on what it tells us? does it tell us the federal reserve is having a massive presence in this market. does it tell us that the hope for better growth for you -- growth through q1 have been diminished by fears of decelerating growth in the year ahead? i have no idea. you get five different strategists, i will get five different reads as to what is going on. tom: lisa abramowicz, your thoughts on all of this? bring it away from full faith and credit in bonds into what you are observing in ign high-yield. lisa: basically, the fed put that has been ongoing, and bill dudley even said the dominant factor in yields being as low as they are, is trickling over to the credit side. companies refinancing at the fastest pace ever. i think we were framing the debate well earlier today, when

you were talking about can the fed raise rates and move away from their stimulus if everybody is buying into it and following them? how disruptive will it be for them to change course if everyone is just saying we don't want to fight you, we are on the same pages you? will that necessarily lead to a correction that the fed is not prepared for right now? tom: do we change the parlor game over the fed when we see a headline that tyson foods will require vaccinations from their u.s. workforce? that filters into our game. jonathan: we talked about august as being passed through to september because september, we are waiting for the supply-side response. more people coming back to work, easing some of the supply constraints. that is how we respond to this delta variant in the coming months. that's why this headlines matters more specifically to the likes of tysons foods forget they are going to require covid-19 vaccinations for the u.s. workforce. almost half of the u.s.

workforce has been vaccinated. infection rates among team members remain low, and they have given it a date. 14 members -- all team members required to be vaccinated by september 1. 139,000, a big workforce. the nature of the business, when you about that, i think this decision speaks for itself. tom: also a fed meeting. maybe that is a small coincidence. the vix, 18 point 70. futures up 16. equity markets giving a lift. maybe small caps doing better. jonathan: they were higher by a basis point or two, now going nowhere. if you tell me how this market response to the data in the bond market, i will still have difficulty telling you how the fx market will respond to the bond market. so there you go. it is a challenge for anyone in financial markets at the moment, except for those that said i'm am going to buy an index and sit

there and do nothing. and then let these conversations go along around me. the dow if you want to as well. tom: there are a few. jonathan: you can get exposure to the dow index if you want to. tom: joining us now on the dow jones industrial average, michael holland of holland and company, they chairman, knowing that the s&p 500 is more indicative of what is going on. i say this with great respect to the sweat of wall street week years and years ago, when fear was ascendant. the wave we saw of fear in our equity ownership is to extrapolate out what successful companies do. how far out are you extrapolating right now? are you out six months, six years? michael: more like years then months, but there are fewer and fewer companies that one can

zero in on and say i think this is worth the risk of losing money because of the potential for the upside is so significant. there is enough cacophony about the economy, the fed, covid, so that companies like tyson are indicating the world continues to change under our feet in the markets because of the tsunami of cash that has come over the markets, so in the past few years, we have lost price discovery. real rates have returned to use for modeling. so this is flying for the rest of us. jonathan: i problem emerges, they can put it to one side and say it won't bother us too much. you mentioned china. this is what dan ives of wedbush had to say.

"we believe these dynamics will yet again bode well for u.s. tech stocks as the favorable backdrop and rotation away from chinese tech into u.s. tech creates a set up." we used to say what would hurt one would hurt everyone because we are all buying the same things. what would you make of that dynamic? david: -- michael: the dynamic is reflective of a market that has gone up reflexively over the last several years. in the case of china, i think it would be a fools errand to ignore what is going on. in a bloomberg piece on the terminal yesterday, the thing that is china about today in contrast to the last 40 years is that they now remember that they are communist. when they remember they are communists, you end up with a

situation which created alibaba, which created the opportunity for people to make tons of money, and they are now becoming political. lisa: fold that into an investment thesis. if we have a china that matters more broadly, what are you doing now? david: -- michael: being very careful, and we have kitted before about the all weather folio. i think the three of you opine daily that there are things that don't look a lot of sense that can be explained in terms of where prices are. you have a 5% earnings yield, the reciprocal of the price-earnings move on the markets, and a less than a few percent -- less than a 2% inflationary. but these things don't make sense.

what i do is try to identify properties, that are useful over the next weeks or months. i would say that companies like general motors have a plethora of things that could go right, but i valuation that doesn't reflect the overall market. it is hard to do. tom: do you do some of the parts analysis on companies in those different sections? you and i are the only ones listening or watching that know what ltv is. [laughter] do you still do some of the parts on amazon, apple, or some stock i don't know? michael: it is interesting that you even have to ask the question. that's what value is if the three of us were four of us

wanted something to buy in the private market, what is it worth? in the private market, and have gone away from doing what you just described. they figured that out a long time ago. but prices were so low back then in a lot of cases that you could find out, if you look at the different kinds of is this is in technology, any individual one of those a few years from now could be worth a large amount of money. but they are trying to do that to further the businesses. but yes, you just will have companies like general motors that can afford that opportunity. maybe some of the parts are really worth a lot more than what the market is paying for them, but not much anymore. jonathan: thank you very much. let's reiterate that headline

over the last 10 minutes. . here's a company looking at the signs, and it has made a business decision. tyson foods to require covid vaccinations for its u.s. workforce. the problem we have now, tons of demand-supply problems. a company like tyson's is looking for winter and wonder what happens to their production capacity, what happens to their ability to make sure they've got the adequate supply of workers in the business. this is how they are trying to tackle the issue. tom: there's a southern cast to this out of springdale, arkansas. it will be part of this analysis. jonathan: providing $200 to fully vaccinated frontline teams. tom: there you go. jonathan: up 0.3% on the s&p this morning. from new york city, good morning. lisa once it to be $1000. lisa: he said $3000.

[laughter] jonathan: futures positive. this is bloomberg. ritika: with the first word news, i'm ritika gupta. the surge in covid crisis is increasing pressure on u.s. drug radio lighters -- drug regulators to fully approve the pfizer vaccine. it was the first to apply for full licensure in the country. a full approval could help the biden administration ramp act up its immunization drive and a holdouts that the shot is safe. alibaba posted quarterly avenue that missed estimates -- quarterly revenue that missed estimates. the commerce giant said it was increasing its share buyback program by about 50%. that is just $15 billion. pia partners will pay $3 billion for naked juice and other juice brands. juice sales have been under pressure because consumers are

cutting back on sugar consumption. at the tokyo olympics, american gymnastics star simone biles made an emotional return to competition and won the bronze in the balance beam final. she withdrew from several events last week to focus on her mental health. this is her seventh the olympic medal. global news 24 hours a day, on air and on bloomberg quicktake, powered by more than 2700 journalists and analysts in more than 120 countries. i'm ritika gupta. this is bloomberg. ♪

>> it takes markets a long time to realize that something really fundamental has changed.

right now, i think you are seeing not just inflation data, but inflation in virtually every earnings call you hear about. jonathan: that was michael shaoul of marketfield asset management, the ceo. your equity market looks like this on the s&p 500 this tuesday morning. we events 12 on the s&p, up 0.3%. yields unchanged at 1.1805%. tyson foods coming out and requiring staff to get vaccinated by november 1. mcdonald's in just the last minute or so pushing forward as well. lisa: they are saying that all customers and staff will need to start wearing masks again inside its u.s. restaurants and in areas with higher substantial transmission of the delta variant, of covid-19. it just shows how the private sector is leading the way when it comes to tightening protocol going forward with this pandemic. jonathan: those decisions coming

in the last 24 hours. unbelievable stuff to see corporations respond to this through last weekend into this week as well. clorox in the premarket down by more than 11%. i will rattle through the numbers for you. it sees the year ahead, sales 2% to 6% decrease. it goes on, adjusted eps, $5.47. the estimate, five dollars $.60. adjusted eps coming in at $0.78 versus $2.41. it is pretty clear what is going on here. monster pulled forward last year. people have still got the stuff in their cupboards. as lisa and i said in the commercial break, this is the end of hygiene theater in a big way for many people. that stock down by 11%. tom: it is a huge move.

it is round-trip. it is really pretty much back to where it was valentine's day of 2020. wonder if we are going to see more of these. jonathan: down 11%. tom: we will see. there's the stories of the stocks today. all of this very much moving. part of it moving at the technical nature of what we see in the equity markets. jonathan krinsky with us now with baycrest partners. you go back and say that small caps, i miss that. you look at large caps and you fall in the center. what is the value of what no one is talking about right now, which is the stocks in the mid-caps space versus the juggernauts of the world or all of the fever over small caps? jonathan k: there's this ongoing battle between small caps and mega cap tech, and you can see it even on an intraday basis, where off the opening bell,

small caps will rally, mega cap will selloff, and it will flip on a dime and completely errors -- completely reversed. that can be seen on the intraday charts as well. but i think the mid-caps are an interesting group here because they don't get attention as far as the index itself, but it has been doing a bit better than the small caps, and it is a bit further long and its upside breakouts. so we think take your eyes off the small and large and look at the middle, and there are some good opportunities. lisa: what does the technical strategy of milk top, melt up again, and melt up yet again look like? i'm looking at a bank of america metric basically saying that there is almost a contrarian sell signal based on how money people are bullish and then even more bullish because what could potentially end this rally. jonathan k: that is what happens when you don't have a 5% pullback in the s&p going on nine or 10 months right now.

on the one hand, we know that markets tend to get at least a 5% drawdown almost every year, so the clock is ticking. on the other hand, in markets, when you go this long without that 5% drawdown, it tends to persist. we saw it the entirety of 2017 go without a 5% drawdown. so we are really in this battle here. we kind of use the analogy bull in a china shop because it is a bull market, and long-term breadth is pretty good, if you are looking at percentages long term. those metrics are still really good, but we know there is this violence going on in these rotations under the hood and on the sector level. we saw it in chinese equities recently. chinese internet stocks left 55% off the top. so it is able market, but there's a lot of violence going on under the hood, and we are

not going to get that 5% drawdown until you see a sustained move in all of those sectors. so we have just kind of had this push forward. one sector will pull down, but insulated by another sector rally. i don't know what is going to cause all of the sectors to move down together, but that is really what you need to see that bigger drawdown. lisa: just to clarify this, in a recent jp morgan survey, almost 2/3 of clients said they plan to add to stock holdings in the coming weeks. bulls are getting more bullish and away we haven't seen. you are saying that is not necessarily indicative of complacency because of the violence under the index level. that anyone who is talking about the melt up is really ignoring some sort of distinction between stocks, between sectors. jonathan k: i think there is a bit of complacency on the passive side. if you have been in the s&p 500 or the nasdaq 100, some of the passive strategies, i think some

complacency is setting in because we haven't seen any real pain to the downside since last october. but i think for the average investor or institutional investor that's got a lot of different stocks, maybe different market caps, there is more of that pain and more of that caution. it is almost a tale of two markets. i think as we talk about all of the bearish season in august, we have a lot of said talk coming up with the jackson hole meeting, so i think the risk that a bigger, broad market shakeout later this year is certainly increasing. i think some of that complacency comes into this. so we will see. again, the s&p 500 is still dominated by mickey cap tech. you really need to see those faang stocks come under some pressure, and to do that you probably need to see interest

rates scare people back to the upside again, which we haven't seen in quite a few months. jonathan f: we've got to run. good to catch up. jonathan krinsky there of baycrest partners. back down to 99 on the twos-tens spread. tom: i couldn't figure out the japan yield story. stephen spratt of bloomberg noting no trade today in the japan tenure. i don't know what to make of that. jonathan f: that's what has been happening in japan. that headline is not the first time we have seen it read we have seen it a number of times. these markets, can we even call them markets anymore in a traditional sense? lisa: i was just going to say the same thing. is it still a market if you just have one behemoth sticking its thumb on everything. jonathan f: a price insensitive buyer sucking it all up. what is the price tell you? the answer at the moment is who

knows? twos-tens breaking down, sub 100 at 99 basis points. from new york city, tom keene, lisa abramowicz, jonathan ferro. on radio, on tv, this is "bloomberg surveillance." ♪

(announcer) back pain hurts, and it's frustrating. you can spend thousands on drugs, doctors, devices, and mattresses, and still not get relief. now there's aerotrainer by golo, the ergonomically correct exercise breakthrough that cradles your body

so you can stretch and strengthen your core, relieve back pain, and tone your entire body. since i've been using the aerotrainer, my back pain is gone. when you're stretching your lower back on there, there is no better feeling. (announcer) do pelvic tilts for perfect abs and to strengthen your back. do planks for maximum core and total body conditioning. (woman) aerotrainer makes me want to work out. look at me, it works 100%. (announcer) think it'll break on you? think again! even a jeep can't burst it. give the aerotrainer a shot. pain and stress is the only thing you have to lose. get it and get it now. your body will thank you. (announcer) find out more at aerotrainer.com. that's aerotrainer.com.

>> i think that china influence

over cryptocurrency will continue to wait the coming decade. jonathan f.: good morning. this is bloomberg surveillance, alongside tom keene and lisa abramowicz. this tuesday this is the price action. the s&p pushing higher by about six points. the nasdaq 100 also up 15, colette 16 point higher. outside of that bond yields unchanged on tens, a shift higher about half a basis point on the front and in a shift lower on the 10 year, also about a half basis point. this is taking twos-tens down. it is just a really small move, have to basis point on twos

higher, down one on the curve. tom: it is a benchmark, a difference in yield of 1%. the rest of the market may be turning and looking for adp and then onto the jobs. james sweeney joins us, always 14 things to speak of, as a chief economist, how do you formulate 1.1 million jobs on friday, how do you derive that statistic? james: it is difficult, but it is causing us to put more attention on the nonseasonally adjusted numbers. some of these numbers have been a little more stable than the seasonally adjusted numbers. i don't know how the factors in, that include 2008 are expected to work, so we think you lost a little bit of the jobs numbers

from some of these a few months ago and you will get them back this month. tom: we observed a standard error of the april report on may 7. do we have the same standard exercise this time around? james: i think it was bigger a few months ago, i think the data fog is starting to break, but it is not broken. in the initial return to work phase, it was hard to forecast these numbers. it is not quite that hard. the most important variable is not payrolls with that big standard deviation, but what is the underlying growth that we will see over the next 12-18 months. given that in the individual month is hard to forecast, we have to really think about where is the unemployment rate in

12-18 months, and that is difficult. if we are off, i could be the difference by getting us the fed hike or not in a given quarter. economists will need patience and 70 because we cannot compare these cycles. jonathan f.: tom, he wants sympathy and patience. tom: he does. lisa: good luck. jonathan f.: who do you think has the most support now? a bit of disruption on the line. take a second and we will reestablish that. we will come back to you. you have the views of governor brainard on one side, and then yesterday some views of his own,

saying wait for the september data and then you have this governor basically turning around and saying if august is good, if the september numbers are good as well, we are all go. lisa: the margin of error is difficult right now, especially when stephen stanley says it is one of the tightest labor markets. and then you have joe lavergne saying we are going into a very slow growth environment. how do you parse the difference between the views? jonathan f.: supply-side, how it responds, that will shape the views. september is the starting point. we mentioned tyson foods, i think they are a part of the story. they are trying to insulate the workforce from what they think could develop going deeper into winter. absenteeism has been a problem in this economy, and we went to

see supply start to meet it. if we start to see restrictions to keep people from coming back, that is a problem. you led earlier with the participation rate, and that is what they are waiting for. tom: thank you. and that was critical, not fossils like me but cut and chiseled like ferro, and that is the heart of the matter. it has improved, but nowhere near socially where it has to be for chairman powell. jonathan f.: when people say this labor market is tight, retaking the view the participation rate will recover, does that underpin this call? lisa: talking about some of the temporary factors keeping people out of the market, talking about the fact that people were concerned about childcare, about the virus, and how much does that persist for longer time, perhaps we ought to ask that,

given this variant. we still don't really know the answer in terms of participation. jonathan f.: james sweeney, just to come back to you, who do you think has the most support, the views of governor brainard or the views of governor walter? james: i think governor brainard right now. we have not had an announcement yet on that new appointment. it would be interesting if powell were reappointed in the next few months. we would see a slight shift because the dogs were not nipping on the heel so much, but i think now the language from the core of the committee of the governors in washington is clear that they are not rushing. i think it would be sensible to reduce the mortgage purchases as soon as possible, but that is not a signal they want to send out. we are talking about tapering in q4 at this point, and it is not such a cosmic big deal.

there is still many quarters away from the actual height. lisa: do you agree that this is one of the tightest labor markets? james: i think labor supply is very tight in the short run so the labor market is tight. my age, i think may be. i think the late 1990's had a tighter market than this. i would not say that 2005-2006 was tighter than this, but we have not had an extremely tight market since before that. the late 1990's was somewhat tight with macroeconomic arjun pressure from labor costs, but it was offset by strong revenue growth and strong nominal gdp growth, so you will have to go back to the 1980's and before we have something more pronounced. i don't think we are at that level. we just have very special

factions related to the pandemic. i think policy is directing as, but that will take a few years to see whether that is the case. lisa: john said what do you make of this low participation rate given the fact that so many people have not gotten back into the market, how can we -- i fumbled it at around. can you give a better answer? james: a tight labor market means pressure on wages, so a supply restriction can give us a tight labor market art wages go up -- where wages go up. in leisure and hospitality, they are having issues. i would separate that short-term factor related to the returning to live in the end game of a

pandemic from the structural situation. if we go back to 2019, there were signs of a somewhat tight labor market for the first time in many years. when this is over, i think we will be backing that. it will not be as tight as we are now, but it will be profoundly different from what we got used to into thousand 17 and before that. jonathan f.: this is such a delicate balance for the federal reserve. if these supply-side issues persist, and we have 12 months of the federal reserve saying, the supply-side issues will heal, don't they risk becoming part of what jay powell has said , it becomes part of the inflation process, the longer it goes on. i wonder if it is just this phenomena, how the fed response to that. james: it would be part of the inflation process if the supply problem is acute. keep in mind that means strong

wage growth for a lot of lower wage workers. so workers who are choosing not to enter are an issue for the growth rate of the economy. workers who need to enter and have are seeing strong wage growth, and i'm not sure that will be a major problem. it will be disappointing growth, but it will be wage growth, strong income growth for a lot of households. eventually some of those workers who are choosing not to work may come back. it is not necessarily the worst thing in the world. the jobs are there. jonathan f.: good to catch up. james sweeney on the current situation in the u.s. economy. tom might mention a man named perry.

harry keynes is threatening to leave this club, and have an exclusive coming from the daily mail, that he is isolating after getting home from a break in the caribbean and can only return to training they negative covid test at the end of the week. he has missed training the last couple of mornings. maybe he was pushing a transfer. the daily mail said he is isolating after vacation. lisa: we will still be talking about it. jonathan f.: we will be talking about that for the next couple of weeks. coming up, ace -- a chief strategist on this market. lisa abramowicz, tom keene and jonathan ferro from new york city, this is bloomberg. ritika: top officials are trying

to stave off a wave of evictions. the president is fred everett -- that'll agencies to stop tenants from losing their homes. more oversight of cryptocurrencies to protect investors, this unusual expertise in digital assets, and has signaled that he is not on board with this oversight approach many would like to see. he says that investors must be protected against this. we spoke to one ceo and our interview. >> we will have plenty to continue to invest organically, so if we get some opportunities along the way, we will have the capital to do that. if it turns out there's nothing out there, which would be disappointing, we could resume

buybacks or proceed in that event. ritika: expecting full year income to be in last year. kkr has crushed its record by bringing $59 billion second-quarter largely driven by the initial closing of this fund . the manager said it nearly doubled from a year ago. global news 24 hours a day, on air and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in more than 120 countries. i am ritika gupta . this is bloomberg.

>> the thing that is different about china today and contrast for the last 40 years is that

they not remember they are communists, and you end up with a situation where you are not -- they are not doing things, which created alibaba, and the opportunity for people to make a lot of money, and they are now becoming political. lisa: michael -- e line jonathan f.: -- tom: dan ives join us right now, and i am very much bullish on apple and other tech stocks. i know that lisa has some interest in the china story. i need you right now to reaffirm 185 and how your path gets out to 200 on apple, and the major thrust i have is in this pandemic, in securities analysis, how far out can you extrapolate the cupertino experiment? do you go out six month, 18

months, or do you have a terminal value out three years? michael: when i am looking at 185, which could be conservative, the services business, i think that starts to get 80 billion, 90 billion, and then ultimately the hardware business, given what we are seeing on the growth on the super cycle, i think we have a $3 trillion markup one year from now. tom: within this optimism is the great missed call of everyone including me, and that is been margin resiliency. what have you learned about technology in america and the ability to sustain margins? michael: that is been one of the key parts in the story over the last few years. the margin expansion, both from

manufacturing and even from the price perspective in terms of what they passed to the consumer, has been jaw-dropping. you are seeing the margins flowing to the bottom line and that is why they are generating this cash. that will continue to happen. ultimately we could be at 100 billion in two years. that is why this continues to be a renaissance of growth. lisa: there is a cap that is about $6 billion more for the experiment, as tom called it. this leans on growth in addition to just services, revenues and other streams of profit. art of the growth stems from china. how do you partition out this at a time when the tech or between china and the u.s. is heating up? dan: it is really been probably one of the best achievements, that they have been able to navigate this tech war.

the one thing that you have to remember, they are one of the biggest employers in china, and from the demand perspective, this is the crux, they continue to accelerate iphone demand purchase cycles within china. that is been the key to the apple story. lisa: we are talking about this on a day when another round, or at least the percentage of it, a crackdown in china. there was an article about the opium of videogames and the concern they have around kids spending too much time on them. we talked about the crackdown on auto chip manufacturers. how do you parse out how much the civil -- this will affect u.s. companies in china as well as the fund flows into big tech the world? dan: that is a great question.

when it comes to apple and tesla, they continue to be more tough on mike terms of how this will impact them. the regulatory crackdown on chinese companies domestically, we have seen it from alibaba and others, this is hard to own chinese tech today. you do not know what is going to happen on the regulatory. this will further drive u.s. tech stocks, and it is just been a blackeye for chinese tech stocks come and these things continue. tom: as the hallmark of apple the distinction has been that use of cash. there are some other tech stocks as well, but is the tone of apple on share buyback and dividend, does that transfer to tech companies that have never done share buyback and that do

not have a dividend? dan: if you look at apple, they have been pretty clear about capital allocation, really going neutral. but also, the difference between apple and others, they are not inquisitive. tech companies are inquisitive and apple has not then come and that is part of the dna of cupertino to build themselves, and that is how they become at the top of the heap really across every company. lisa: you been a big bowl on apple -- bull on apple, and you have been right again and again. what would you have to see to start rethinking your call? dan: the digital transformation story would have to be going the other way, starting to see reductions in spending across

enterprise, but right now we see the opposite. that is why to me it is a green light to own u.s. tech across the board for the second half of the day. tom: thank you so much. as i look at the news flow today and the individual stories along with the greater view, it is just this covid news flow around vaccinations, but government officials are doing, and you mentioned earlier, the basic idea of august three, kids back in school. lisa: and can they get back in person without further disruptions as you start to get masks being mandated, the delta variant search -- surge. i think we cannot overstate how important it is for kids to get back to school.

i am talking on a personal level but also a social level. tom: maybe that is where you solve masks. we may have them in selected stores. i don't know where it was, but i walked in someplace where i felt like an idiot because i did not have a mask. lisa: my kids just went back to school very early, and they are all wearing masks. tom: you are so pushy, what do you got to do? linear algebra? lisa: i am having them do my expenses. honestly, the idea that private companies are taking the lead is interesting. tom: futures make it to 10, dow up 91.

the fix back up. please stay with us through the day. the gentleman from columbia, dean hubbard. good morning. ing.

in business, it's never just another day. it's the big sale, or the big presentation. the day where everything goes right. or the one where nothing does. with comcast business you get the network that can deliver gig speeds to the most businesses and advanced cybersecurity to protect every device on it— all backed by a dedicated team, 24/7. every day in business is a big day. we'll keep you ready for what's next. comcast business powering possibilities.

>> good morning, good morning. equity futures are up, 30 minutes away from the opening

bell. the countdown to the open starts right now. >> everything you need to get set for the start of u.s. trading. this is "bloomberg the open," with jonathan ferro. jon: we begin with the big issue, building division at the fed. >> brainard is sending a clear signal. >> feeling more influence from the fed. >> it's clearly going to be what happens in september. >> i feel surprised the board is talking more hawkish. >> they will be as aggressive as what she's suggesting. >> all they have to do when the time is right insert the word substantial. >> the fed is nearly there