>> it is 1:00 in new york, 1:00 in hong kong. welcome to bloomberg markets. here are the top stories that we are following for you around the world. stocks in rebound from monday's route. investors awaiting the new u.s. job support and signal on the fed's next move. and my exclusive interview with jonathan gray. he discusses what he is buying and selling, especially when it comes to china. johnson and johnson seeking approval from the fda for a second booster shot. it provided strong protection against infection. let's take a look at the markets. i was skeptical of the turnaround tuesday thing but i may be proven wrong. s&p up by 1.4%. yesterday was a disaster across the board with the exception of energy. now, tech is the upper in the s&p.

the faang index on its 200-day moving index. even with the hearings on capitol hill, we are still up. what is also impressive, tech is moving higher. yields pushing higher by four basis points, led by the u.k., which is up seven or eight basis points. that is having a knock on effect. brent crude up another 2%. s&p energy stocks still in the green but not the outperformer they have been the last few days. investors are also taking into account this report that we got from j.p. morgan that says bond yields will rise as the u.s. recovers from the pandemic but it will not be enough to keep ahead of inflation. joining us now is liz mccormick. thank you for joining us. walk us through this call.

>> like you say, they say we will get economic recovery, we will have nominal yields pick up a little but not enough investor to keep up with the pace of inflation that makes the real yield negative. they say they put this strategic review out that is looking out a couple of years, so it is not just a few weeks.they are sayind look for negative real yields to last, and total return in treasuries could be negative. they are looking for other ways to pick up the yield in fixed income. alix: that will be alternatives taking more risk? liz: they don't want to call at risk but they say you have to give up some liquidity, a little more volatility to pick up yield. they are looking at securitized products. they think the consumer is strong, which makes sense. consumers have money from the

economic stimulus, not spending as much during the pandemic. they feel the consumer is in good shape. you know there is a wealth of securitized debt on credit cards to autos, you name it david you may have to lean harder on equities but you have to be selective, like dividend paying stocks, low volatility stocks, and real estate. real assets that will do well as the economy does better and inflation goes up. alix: i wonder if they said anything about the price implication and valuations. i asked john gray of blackstone about this. he says the pool will get bigger and go into the ocean, which means you'll have a lot of opportunity to buy stuff. what about valuation? liz: that is why they are being very selective at j.p. morgan asset management. things like that, things with long-term leases, valuations are not bad.

i am no stock expert, but you talk about the fangs. there's a lot of high valuation. that is why they are saying you have to be selective. like you said, yesterday was terrible, today we are back. i saw some reporting from the virtual conference today. a lot of people saying it is time to start selling a little. alix: in the note, i wonder what the implication of this is. higher inflation but real rates will stay negative what does the fed do with that? liz: part of the thesis is that this will happen because the fed is boxed in any sense. even though the fed is saying they may start to taper later, you have some officials saying be good have rate hikes as early as late next year. you hear this a lot of places. the fed and a lot of central

banks have no choice because we have this huge debt and deficit, even though they are independent from the treasury. if you raise rates too fast, get out of your bond buying too quickly, start to think about reducing your balance sheet, you will create shocks. not only will you increase uncle sam's borrowing cost, but everyone. alix: thanks a lot, liz mccormick. now something else that caught here in manhattan, sign of a strong recovery from the pandemic. manhattan apartment sales surged to a record in the third quarter. purchases were the highest going back to 1989. buyers are moving fast. holmes spent an average of 52 days on the market, 10% faster than last year.

many talk about the fact that the pandemic discount for real estate in manhattan is going to go away, so get in now before the recovery really takes hold. let's go to mark crumpton first word news. mark: johnson & johnson has asked u.s. regulators to approve a second dose of its covid-19 vaccine as a booster for adults. the company says a late stage trial found a second shot of its one-shot vaccine provided 94% protection against moderate to severe disease. if approved, j&j's booster could give millions of more americans additional protection against covid-19. american officials are pushing the singapore government to open up a travel lane so that visitors from the u.s. can enter with the same sort of freedoms travelers from singapore get in the united states. u.s. officials emphasize the trade and investment relationship as a reason why a

travel lane should be prioritized. the u.s. is singapore's largest foreign investor. russian president vladimir putin has dismissed climate change for years. now he is prodding officials to take the threat it poses to the country's economy more seriously. the kremlin is likely to come to the glascow climate summit next month with proposals to coordinate with europe on carbon emissions. 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'm mark crumpton. this is bloomberg.

alix: this is bloomberg markets. i'm alix steel. oil prices still at a seven-year high. a big part of that has been this power price spike we have seen in the u.k.. the transition to cleaner energy has left fuel supplies in question, leading to higher prices. earlier today, erik schatzker sat down with the cio of sores global fund management to talk about whether this spike will be the new normal. >> first of all, on the energy side, it is largely a political phenomenon. i think russia had invested -- had a vested interest in natural gas prices being high in the context of nord stream 2 approval. in the context of china, the decision around australian coal -- >> which is to say not by any more. >> what they fail to realize is

that even though the majority of their coal is domestically produced, things turn on the margins, so while both of those are geopolitical causes, i think the interesting thing is when you look forward, high energy prices or high fossil fuel prices is not necessarily a bug of esg but it is by design. you will promote transition to cleaner energy with higher fossil fuel prices. while not the cause here, when we look forward, this will be the new norm where you see spikes in energy prices, something that we have to get use to. to your question on inflation, i think we have all been so -- surprised at how long this feels like this will last now. the other interesting thing is,

a lot of this is supply-side inflation. it is not clear that monetary tools deal well with supply-side inflation. i think the risks are this could become self reinforcing. that is something that we are relatively focused on. alix: that was erik schatzker in speaking with don fitzpatrick. also at the conference, bruce flatt of brookfield said it is a good time to be liquidating assets following a slow period last year. i sat down with john gray of blackstone to ask what he would be liquidating, when he was selling, and what he was buying. >> in this environment where rates are likely to go up on the back of higher inflation, what you don't want to own is long-duration fixed income. there you are more vulnerable, there is no place to hide. what you want to own our businesses and assets that can grow.

even if multiples come down, value can increase because of the growth in cash flows. we have really tried to be thematic investors. look at these huge changes going on around the global economy, and how can we benefit from that? things like the movement of everything that we do online. shopping, paying for things, entertainment, health care, education, all of that. we have invested in businesses like bumble, ancestry, but we have also invested in businesses in digital infrastructure, fiber to the home. we have been the biggest investor in last mile logistics, warehouses, based on that e-commerce boom underway. alix: you were doing that before the pandemic. >> we were, but if you look at the trends in e-commerce, it will go from 20% to 40%.

i would say the same thing about life sciences, accelerated by the pandemic as well. big data, genomics coming together, mrna, immune therapies. invest in the buildings themselves, invest in companies running trials, invest in promising therapies. how can you take advantage of what is happening in the market? i say this about green energy as well. wind, water, solar, all the infrastructure that goes with it. some of these areas are not sincerely technology driven. could be global travel, rising middle class in places like india. alternatives. housing, a real shortage since the financial crisis. as investors, when we think about applying capital, big picture, where are these attractive good neighborhoods that we like?

then how do we flood the zone there, express that in different asset classes? alix: i have to think a lot of people will flow to those zones. jp morgan says we can have higher rates but real rates still say -- stay low, you need to take on more risk to get that yield. there has to be more people invading your space. >> alternatives are definitely coming, no question. but their scale is. a small. today the industry is $8 trillion, which sounds big, but stocks and bonds are $250 trillion. what we see investors doing is not necessarily taking more risk but they are trading some level of liquidity for what they believe will be higher returns. the data looking backwards has shown that. if you look back a decade ago, we were basically in private equity, real estate private

equity, distressed credit. that has brought in pretty dramatically over time as we move into core plus real estate, infrastructure, direct lending, structured credit. the people that we can serve, the pools of capital have broadened beyond just traditional pension funds, now insurance, individual investors, and the types of assets weakened by have broadened a lot. alix: that was jonathan gray of blackstone. it is time for the bloomberg business, the biggest stories in the news right now. the u.s. trade deficit rose to a record in august thanks to grown imports of goods. the gap in trades and goods of services increased 4.2 percent to more than $73 billion. imports rose due to pharmaceuticals, toys, and games. robin hood is adding a feature

it once avoided. 24/7 phone support. it will allow users to request a callback for any questions on stocks, options, or cryptocurrency. robinhood has been increasing its customer service staff after a series of high-profile incidents and user complaints. pepsico has raised its sales forecast on its beverages and snack food. full-year revenue is expected to rise 8% on anna kournikova basis. at the same time, they are grappling with supply chain constraints that is making it more challenging to meet consumer demand. that is your business flash update. breaking news. the white house spokeswoman is telling reporters that president biden has confidence in current fed chair jay powell. this comes after elizabeth warren spoke out against powell, calling him a dangerous man last week, coming at him pretty hard

today, blaming him for ratings issues. biden says he has full confidence in powell. johnson and johnson request the fda's approval for its booster shot this week. we will be speaking to the associate professor of international health at the johns hopkins school of public health. this is bloomberg. ♪

alix: this is bloomberg markets. i'm alix steel. johnson and johnson request of the fda's approval for its booster shot after studies showed it provided strong protection against covid-19. joining us to discuss is kawsar talaat, associate professor at

the johns hopkins pool of public health. j&j registering for the booster, still waiting form and turn on. when will we get approval for that? kawsar: the fda is holding meetings in october to review the data for maternal and johnson and johnson. hopefully after that we will hear whether they give them the thumbs up or down. hopefully within the next couple of weeks. alix: there has been confusion over whether we do need a booster. over the weekend, biontech says we may need a full new vaccine to fight the new variants. what is the likelihood of that happening? kawsar: it is likely. we know the virus is changing all the time. there may eventually be a variant where a different vaccine may be better. all of these vaccines, the nature of their platforms make as it easy to adapt to new variants.

that is the good news. hopefully, we will be able to stay ahead of the virus and keep it under control. alix: in order to do that, we need more people to be vaccinated for the first time. we are now getting companies mandating vaccines, threatening their workers, that they will be fired or laid off if they don't get the vaccine. what else can we do right now? kawsar: i think vaccine mandates work, but we need to first meet people where they are, understand why they are hesitant to get a vaccine, see if we can address some of their concerns. these vaccines are new, have been around for almost a year, but they have had an untroubled track record. 185 million people in the u.s.

are vaccinated against covid. one billion people worldwide who are vaccinated. we know that these vaccines are safe, effective. i think it is really important to talk to people and just keep saying the facts about the vaccines, address their concerns. it is also important to address some of the misinformation out there, disinformation that is out there. alix: does that come from a physician, it community service thing, do you need more clarity from the government on how to communicate? or is it up to the individual doctor? kawsar: i think it is incumbent on the individual doctor to educate themselves and their patient. we have a lot of information available to us as physicians, there is a lot of educational programs. the cdc puts on a call every other week on saturday to give information about covid vaccines.

other opportunities from the professional societies, american academy of pediatrics, any other professional societies about education about vaccines and vaccine safety. it is important that doctors take advantage of those trainings and that they talk to their patients. we know hearing it from their doctors is one way that people are convinced to take vaccines. alix: the other wildcard is kids. this is personal for me. i have a seven-year-old in second grade. when do you think we get the vaccine for kids 5-12, and will there be a mandate to get a vaccine to go to school, the same as the measles and mumps? kawsar: the fda has already scheduled at that pediatric meeting for the 26th. i am really hopeful that we will get a positive review and will hopefully have vaccines for kids 5-11 sometime at the end of the

month or beginning of november. in terms of mandates, they do help, we have mandates for other vaccines, as you mentioned, for kids to go to school. initially, it is just education, talking to families. this is the first vaccine to go into children that has already been in hundreds of millions of adults. that is incredibly reassuring. it has gone into adolescence, it is safe and effective. it is a way to keep our kids in school, playing with their friends, hanging out. i have a 10-year-old, so i am very excited. alix: so we speak the same language on that. before you go, merck has a potential pill that could help in terms of the symptoms if you get covid. will things like that detract from wanting to get the vaccine? kawsar: i hope they don't.

the vaccines are amazing, incredibly effective, and very safe. there is a saying, an ounce of prevention is worth a pound of cure. even if a pill will help you once you get covid, it only helps about 50%. the vaccines are much more effective. you won't have to deal with long covid, you are not going to end up in the hospital, will not end up intubated. alix: we appreciate your time. we have to leave it there. kawsar talaat, associate professor of international health of the johns hopkins school of public health. the johns hopkins pool of public health is founded by michael bloomberg. this is bloomberg. ♪

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mark: i'm mark crumpton with bloomberg first word news. democrats may have to live with a less generous expansion of state and local tax deductions

than they wanted. president biden has conceded that lawmakers may have to scale back the cost of his economic agenda from $3.5 trillion to about $2 trillion. that means cutting the cost of many programs and tax credits, including the one for state and local taxes, known as salt. massachusetts democratic senator elizabeth warren is criticizing federal reserve leadership following revelations concerning market trading by senior officials there in 2020. >> these fed officials actions show, at a minimum, very bad judgment. they also suggest these fed officials believed building up their own personal wealth is more important than strengthening the american people's confidence in the fed. mark: senator warren says the discovery concerning investment transactions calls into question

jerome powell's leadership of the central bank. the fed says its internal watchdog will review the issue. a facebook whistleblower is set to share what she calls the frightening truth with the senate committee today. frances haugen plan to testify that the social network misled the public and shareholders about the harmful effects of its platforms. she has shared internal facebook documents with the securities and exchange commission. 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'm mark crumpton. this is bloomberg. ♪ amanda: i'm amanda lang. welcome to bloomberg markets. alix: i'm alix steel.

we welcome our bloomberg and bnn bloomberg audiences. here are the top stories we are following for you from around the world. it is countdown to the u.s. child support. the ceo of paychex joins us to talk about those numbers. and it is a rough road ahead for airlines as reduced business travel stalls the industry's recovery. we will speak to the jetblue ceo. people say we will have christmas, i wonder how much christmas will cost? mark: we will be watching the way number for any inflationary pressures. for the markets today, that is not a preoccupation. basically a reversal of yesterday. the big tech groups led by communications are leading the market higher. real estate, utilities, we are seeing some weakness for utilities out there.

overall, financials are strong today, and it is the biggest names of all. netflix is one too much, an analyst upgrade playing there. when we hear from a company like pepsi, they will be companies that will do well in this third quarter but that can manage their supply chain issues and their outlook will stay solid. that will reassure investors that the valuations of this market are not overstretched. i want to draw your attention to the 10 year at 1.52. still not tracking to 2%, but at a level where it will keep investors attention. alix: deafening the high end of the recent range. let's go to those supply constraints. they are worsening as retailers start to build inventory ahead of the holiday season. ed ludlow is with us now. >> labor and supply constraints are really exacerbating the problems that we see at terminals, and also stretching

out the leadtime for manufacturers. this is the demand index for relative supply and demand in the stock market. we know that there are half as many truck drivers as is needed to get those containers off the docks. when this index is rising, that means it is tightening the market. how long that will last, the consensus seems to be into 2022. shippers are scrambled to bring containers into the country. the question is why didn't we see this coming? the spread between job openings and hirings has been growing since july of 2020, after the initial shock of the pandemic. this is not a new trend even though this is two months delayed. the demand side of the equation comes into play. there is an element of seasonality. retailers are scrambling to hire at all points of the supply chain.

the final chart speaks to that. the number of job postings for seasonal jobs listed as urgent is around 10.2%. the same period last year, less than 1%. the worry for these guys is the number of workers seeking those jobs is down by two percentage points. going into the holiday season, it is all the ends of the supply chain. the chokepoint at those terminals down to the supply shelves, providing tightness in the market. amanda: for more on what to expect from the jobs report later on this week, we have the ceo and president of paychex. specializing in the smaller end of the business side. i want to focus on what you are seeing out there in terms of the labor market. we hear a lot about tightness and wage pressures. what are you experiencing? martin: it is everything that

you talked about. there is a great need and demand for these workers, but the supply is still low. we have seen a lot of baby boomers retire early. we have also seen a lot of parents stepped out of the workforce, so there is a shortage. you are seeing a big pickup in part-time work. we are still seeing job growth. but it has definitely slowed down a little bit. we think it may take a few months before he picks back up. alix: his job growth slowing because the workers are not there, is that a pause for the companies based on the environment? martin: i think it is because the workers are not there. you see the demand come increased demand all over. people still have pretty high cash balances. there are high cash balances and now the unemployment, most of

the boost has come back down. we have also seen rent that has been held off for maybe 18 months will have to be paid. you are also seeing loan repayments for schools that will have to be repaid. you'll see the next couple of months job growth pickup again quite strongly. amanda: one of the other things that jumped out from your data is the wage increases by sector. hospitality in particular, very strong increases. what does that suggest to you what will happen to profits and price margins? martin: it has put a lot of pressure on restaurants and other hospitality. over 8% wage increases, and everyone knows, last year, we were talking about whether we could get to $15. now, most have blown past that because the demand is so high and it is hard to get people.

we will see more part-time, that seems to be where the supply is. people are ready to go back part-time but not full-time yet, especially in leisure and hospitality. big growth particularly in the under 50 employees businesses. alix: i talked to businesses that are open may be five days a week rather than seven because they don't have the staff. the staff they have, they want to keep happy. i wonder if we see more people come into the labor force, is the demand longer-term sustained? now that demand goes back to seven days, increasing the demand for labor. martin: we are hearing there is plenty of demand. these restaurants want to stay open six or seven days a week, they want their longer hours back, but they don't have the people to be able to do it. some are actually a couple people short from closing down

more hours. the demand is therefore the longer hours and workdays but they cannot get the people. i do think that will turn, it will just take a few more months. amanda: one thing that jumped out in your data was education and health care not showing, not keeping up with inflation in terms of wage pressure. i would have thought health care would have seen upward pressure because of the strain on that labor force. what do you make of that? martin: the same thing. there is a great demand for it, but with all of the mandates going on at different facilities, nursing homes, they are still a little bit shy in hiring. they are not able to get people back, they are losing some people because of some of the mandates. it is difficult to see the job growth there. we are seeing that growth across the country. the west has picked up. the south curtailed a little bit, the delta variant hurt them

in the last couple of months, but they have been coming back. there are more people there and jobs right now. amanda: we appreciate you being with us. martin mucci is the president and ceo of paychex. breaking on facebook. it took the world's attention yesterday with an outage. we are told it happened during routine maintenance. it did affect the backbone of its system, which runs the network. we have seen a huge knock on effect. a stock is higher today now that platforms are back up and running, as usual, as are some of the related social media platforms. still ahead, ready to take off. we will speak to the jetblue ceo about when international travel is expected to rebound. ♪

>> we are going in the right direction and we have to take confidence from announcements like at the u.s. open open to european vaccinated travelers from november, what the u.k. has done recently, australia saying what they will do. we are seeing a change and that is the reason we are more optimistic about international travel. alix: this is bloomberg markets. i'm alix steel. it seems people are heading back to the airports. i still have not gotten in a plane in almost two years but i spoke to jonathan gray and he says he is finally doing it, going to london in the next couple of weeks.

that transatlantic route is happening. amanda: you could look at as 30% below last year's levels. we know the losses have been incredibly steep. $200 billion. how long before capacity is back? a lot of airlines took capacity out, and that will limit their ability to fly people for a while. alix: they really need the money once people start flying. having any kind of pricing power is great because they have a huge deficit. the pandemic wiping out almost 10 years of profits for these airline companies. i want to get a deeper read on that, recovery for the airlines, returning to profitability with the ceo of jetblue. he joins us from boston where people actually traveled to get to. that is uplifting. thanks for joining us. u.s. carriers can be profitable

next year. true? >> we have seen a very strong recovery this summer. jetblue saw as much capacity this summer as we did in 2019. there is so much demand out there. as soon as government lifts these restrictions, we see bookings coming back extremely quickly. yes, i think we have a lot of reason in the u.s. to be very optimistic about the direction of our industry. amanda: what is the conversation being had around peers with vaccine passports, accreditation's? even from canada to the u.s., there is disagreement on what cockatoos a valid vaccine. robin: it is great that we are all here in person, reminding us that nothing beats in person meetings. a lot of us were reminding -- were saying that it reminded us of a high school reunion.

one of the major themes that we can agree, as airlines around the world, there is a lot of demand out there. the biggest barrier to that business is the government restrictions that are in place to prevent many forms of international travel. not just the restrictions themselves but how entry -- every country has a different set of restrictions, many of which are hard to understand. an example is the passenger locator form required for entry into the u.k.. over 2000 questions on it. is anyone really reading all of that? alix: talk about the north atlantic. i just mentioned jonathan gray taking his first trip to london. how is the reopening going? robin: when the u.k. lifted restrictions, we saw a lot of

demand from the u.s., being able to fly to the u.k.. when the biden administration announced the lifting of restrictions in november, people coming from the u.k., we saw another big increase. we had the greek tors administer here at iata. he talked about how quickly business came back to greece this summer as they opened up. lots of evidence that as these restrictions go, business will come back quickly. amanda: it is worth reiterating. jetblue has added more flights than most of your major competitors. you are flying at 2019 capacity, that is better than many. how were you able to do that? are you taking market share away from some of your rivals? robin: first of all, jetblue is 80% leisure, 20% business. it is the leisure business that

we recovered more quickly. i also think we benefited from a large domestic network. certainly, there were many people who took vacations this year, staying in the u.s. with these complexities of traveling internationally. i also think people enjoy our combination of low fares and better service. alix: in terms of low fares, i wonder how you keep that when you have higher fuel prices really moving. is it going to make it harder to bring back capacity? robin: you are right, we have seen a tick up in the fuel price of late. that does increase costs for airlines, comes at an unfortunate time when we are recovering from pandemic. but i will stress again, demand is so strong, and because of

that, we will continue to see a lot of people wanting to fly. it is important that certainly jetblue makes sure we have enough capacity to meet that demand. amanda: we have seen some noncompliance with mask wearing and other rules on board. some airlines suggesting there should be no fly lists shared. i know you have a list of some 400 people. do you hope for improvement on that front, or is this just going to be a new near-term reality for you? robin: it is very challenging. we put our crewmembers in a difficult situation. everyone understands that before you get on the airplane what the rules are. we have to comply with those rules, whether we agree with them or not. our in-flight crewmembers do not want to be the mask police, but that is what they have become. i know it is not pleasant to sit in a mask on flights.

i know a lot of people do not want to wear masks, but that is the rule. it is our job to enforce it. we will keep making sure where we have people that violate the federal mandate or threaten to intimidate our crewmembers, that we will follow and hold them accountable. alix: will you share that list with your peers? robin: i don't support airlines sharing lists with each other, there are number of privacy reasons around that. if the government wanted to create a central list of customers who have had compliance issues, that is up to them. each airline may approach it differently. right now, we feel good about where we are, which is we maintain our own list, will follow up with those customers. amanda: one big issue for the industry, we have seen with

other players, curious what your experience, on the labor front. long delays as we see travel trying to return to normal. what is the status now? robin: we have seen the same challenges in our industry as everyone else. mainly with support. we have not seen any significant hiring issues at jetblue. we don't expect to see that. we are now preparing for a very busy 2022. we are getting ready. we think it will be very strong. amanda: great to have you with us. appreciate it. jetblue ceo robin hayes. we are back after this. ♪

>> has interest rates continue

to go down and private credit is increasingly becoming, as i mentioned earlier, supplanting fixed income in portfolios. this business on the credit side , performing credit side specifically, will continue to increase over the next 15 years. this will be a big portion of the business to grow. amanda: this is bloomberg markets. i'm amanda lang. that was the brookfield ceo bruce flat speaking earlier today at the bloomberg invest global summit. speaking of credit and fixed income, for what it's worth, a key indicator of risk is showing investors may be starting to get more nervous about europe's junk rated debt. the cost of insuring junk bonds is rising higher than their investment-grade peers, widening the gap between the two, the most since may. the problem for junk debt is accelerating inflation with your

areas growing the most in 13 years. it is still below the level we saw in march. alix: not to mention that a lot of that will come from energy prices and gas prices, which some say could be short-term, that we will not see that huge spike and feedthrough to inflation that we may think. amanda: i think that where you are thinking of is "transitory." you are right, there is some betting about how it will last. for alix steel, i'm amanda lang. ♪

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mark: i'm mark crumpton was bloomberg's first word news. tensions are rising between france and the u.k. over the

post-brexit fishing rights. france's european affairs minister says the eu could look into leveraging electricity supplies to the u.k. in an effort to force prime minister boris johnson's government to grant access to british fishing waters. any interruption to that power flow would threaten the british grid that is already under pressure. meanwhile, prime minister johnson says he wants the country to grow its way out of economic problems. he told itn the focus p needs to be on productivty and wages. >> we can do much better by becoming a higher wage, higher productivity economy. we've got fantastic supply chains, fantastically clever people who work on our logistics. they will fix all these problems. mark: