widening across canada. the blockades have no halted commercial traffic at critical border crossings, including the ambassador bridge into detroit. it's the most important link for goods moving between canada and the united states. organizers say they won't leave until all covid mandates are lifted. prime minister justin trudeau says the protesters are hobbling the economy and trying to undermine democracy. french president emmanuel macron says he has won agreement with vladimir putin that they won't have restrictions over ukraine. president putin had agreed not to undertake any new military initiatives in the region and to withdrawal russian troops from belarus. president macron spoke with reporters in kiev today after meeting with ukrainian president latimer dylan ski. >> we spoke with president putin. he told me he would not be at

the origin of escalation. i think that is important. mark: the kremlin is casting doubt on the report, though. president putin declined to talk about it. moscow has repeatedly denied it plans to attack ukraine. the united states has seized about $3.6 billion in bitcoin stolen during a 2015 hack of the bitnet's currency exchange. the justice department says it's the largest financial seizure ever. two people, a married couple, have been arrested. they allegedly conspired to launder bitcoin stolen after a hacker reached tether, the world's biggest stable coin. the doj says at the time of the hack, the digital currency haul was estimated at $71 million. it would now be valued at $4.5 billion. global news, 24 hours a day on air and on bloomberg quicktake, powered by more than 2,700

journalists and analysts in more than 120 countries. i mark crumpton. this is bloomberg. ♪ matt: is 1:00 p.m. in new york, 2:00 a.m. in hong kong. i'm matt miller. welcome to bloomberg markets. here are the top stories we're following for you around the world. u.s. stocks in the green as yields rise. small caps lead gains as the tenure heads towards 2%. we'll discuss the state of the market. plus, we're going to bring you the details from bloomberg's big take, which highlights how goldman's plans from working from the office are now an anomaly on wall street as many say goodbye to traditional five

day work weeks for good. and the cio of valkyrie funds will join us to discuss the green bitcoin mining etf that just launched on the last act -- the nasdaq. let's take a quick check on what's going on in the markets. we do have some green on the screen. it sustained this rally the last couple hours. it had been bouncing back and forth between gains and losses earlier in the day. the 10 year yield, which reached 197, is currently at 195 23. the dollar index not doing much, holding it around 1175, 1176, timex crude to around $90 a barrel, $89.56. wti had a good run up. it's still holding at relatively high levels. we see brent still trading far above $90. as markets adjust to a more hawkish fed, they are still

learning lessons from the last few years. black swan events like the pandemic don't happen much, but when they do, you have catastrophe insurance. erik schatzker is here with the best known names in the business. take it away. >> the last time we heard from this gentleman was february of 2020 and that was a timely interview because his firm strategy delivered a 3600% return in the month of march, 2020, the pandemic meltdown. i am talking about the founder and chief investment officer of universe investments. mark, it's great to see you. mark: pleasure to see you two. erik: the last few months have been busy for you. mark: they've been ok. [laughter] erik: is it enough of a drawdown, a sharp enough draw down for the universal strategy

to be making money for your clients? mark: as always, i just can't talk about that. erik: i don't expect you to talk about percentage. but why am talking about is the degree of the drawdown and we are seeing the drawdowns since the great financial crisis of 2008. there have been a few. this helps perhaps illustrate it a little bit better for people. the pandemic meltdown of 2020 was a huge moneymaker for your clients. what i'm getting at is, is there enough of a drawdown? is there enough of volatility for strategies that you employ to be working in your clients favor right now? mark: just looking at that chart, it's hard to find last month on there. the types of risks that we saw last month, those types of moves, those aren't the kinds of things that are really important, consequential to rates compounding overtime. matt: what levels then do you

kick in? if i blithe flood insurance, i know if my house is destroyed by a flood, that's when it kicks in. where is your flood level? mark: it's not that simplistic. it has to do with pricing in the market, different ways we position things. it's never that straightforward. erik: there are people out there, mark, who want to do what you do. they think they can do it on your own, right? they mess around in the options market. in the forward to your book, can we can show people the cover of mark's book, "safe haven," that it comes from being a safe trader. how do you decide when we are in the middle of a volatility spike, when to sell or exercise the option, the options that you buy and sell to crystallize gains on behalf of your client? how do you know? mark: this is something that we highly systematized over the years.

and really, it's a great question because it's the primary reason people should not try to do this themselves. i made that point very strongly in my book. someone should never try this at home. you can even get the trade right and it will slip through your fingers. that's a good point. this is where a lot of the expertise comes in. matt: and you have mainly experts investing with you, right? this is not something that a retail investor can get involved with. they typically go for a 60-40 portfolio, the traditional way to guard yourself from market drops. how do you feel about that strategy? many people don't have the choice to get into optionality in order to protect themselves. mark: yes, so it's a largely institutional product. obviously when people try this, it's really hard to get this right, the type of expose of playoffs, -- payoffs, exposer protections we try to do. looking, at 60-40 diversifying type strategies.

this is what modern finance teaches us. we should lower the volatility in our portfolio. the hope is we raise our risk-adjusted returns. in so doing, we are actually making ourselves poor, so risk mitigation has turned into a thing that has a cost to it. it doesn't have to be that way. the goal of risk mitigation should be to raise our rate of compounding interest, raise our wealth, or begs the question, why do we do it? erik: fairpoint. jimmy grantham, famous value investor who specializes in calling market bubbles, told me last month -- matt: he often does. erik: that u.s. equities are in a super bubble, only the fourth in history, and that the bubble is already bursting, and it is going to end in the 1920 line -- 929 like crash. do you agree? mark: i generally do agree.

we are in a super debt cycle. erik: you might start sounding like ray dalio. mark: i don't agree we can tactically trade this. i don't agree with that. i have all kinds of respect for grantham. but at the same time, cassandras generally make poor investors. risk mena based -- mitigation is a cure worse than disease. you can get risk mitigation right and it ends of being a victory, the toll that you had in the portfolio is greater than the cost that the risk would have had. erik: so you don't agree with the idea you can time it? but if you look at the market the way grantham is looking at it or perhaps your own way, you see enormous risk? mark: it's enormous. i think people, when they think the fed is on this hawkish tightening cycle, i think there's a profound lack of

appreciation for how dangerous the market is and how embedded all this liquidity is in the financial system. we have $30 trillion of federal debt. that needs to be well understood. matt: so institutional investors come to you for catastrophe protection. how much should they pay for that? and at what point, when we get along stretch between catastrophes, is that too much? the bleed, that's called, right? mark: that's a reductionist way to think about it. one needs to look at their portfolio holistically. when you do that, what ends up happening is you can see certain risk mitigation strategies, like ours for instance, it takes you on more exposures. i said, perhaps when i was on with you last year, over two years ago, i really hope there is never a crash again. if there's never a crash again, if the universe's history is any guide, we remain the risk

mitigation strategy. erik: that raises a question for me, which is this. if you look at the universe's performance and you demonstrated this mathematically since 2008, having this portfolio insurance, if you will -- i shouldn't call it portfolio insurance because that was vogue in the 1980's, but how this insurance policy has worked. but we've been and what i might describe as a market that is ever rising with sharp drawdowns and rising to new peaks. what if we go back to this general in monetary policy to a market that looks more like the late 1970's, stocks grinding horizontally? does the universal strategy work that? -- then? mark: you're describing a best case scenario in terms of risks. this is something people are paying for is these overvalued markets and they're going to grind up.

the scenario you are describing, it would be noise from my risk mitigation strategy in the portfolio. what you're describing again is a risk that doesn't have any consequence. it's inconsequential to a portfolio. what matters is other risks, the big risks. those have the impact. this is not a macro view that i have, a macro statement. this is simply a mathematical fact of compounding is these risks, whether a slow drip down or slow move up. when all is said and done, you look at your terminal wealth, it won't have any impact. what has the impact are the big losses. matt: the interview with jeremy grantham raised a lot of eyebrows, but he wasn't calling for the kind of crash a lot of students of the austrian school may be prepared for after the fed boosted the balance sheets of $4 trillion, now at a trillion dollars. we keep boosting fiscal spending and monetary policy, pushes us

along, more and more hair of the dog. is there a point when even your funds can't help? is there a point where no one gets paid? mark: you're talking about counterparty risk. it's always there. but that's not a terminal type of event. but i agree -- erik: and of the world as we know it. mark: we are very conscious of counterparty risk by spreading it out and things like that. matt: but this reckoning is something we were warned about often and yet we continue along the same path. so when is it coming? mark: there's no way to turn it around. you can't allow any fires burned because they were completely wipe out the entire ecosystem. that's where we are today, of course. i think it's a profound lack of appreciation by people who think we are going to go into this great tightening cycle, massive

appreciation for how far we've come. matt: great talking tea. wish we could have another 10 minutes or hour. mark spitznagel there, as well as bloomberg's erik schatzker. employers are actively choosing to work from home and companies are adopting hybrid work patterns to keep them. but there is one company that is adamant about its workers getting back into the office. we're going to talk about goldman sachs and the aberration next. this is bloomberg. ♪ ♪

matt: this is bloomberg markets. i'm matt miller. with pandemic restricting's window income offices are becoming busier. but employees are still working from home. alden sachs says it's expecting employees to return to the office. it is the focus of today's limericks big take. let's bring in william shaw, who cowrote the story. and william, what you're focused on in general is how the return to work is going to work if it's going to happen at all globally for all industries and then on wall street, specifically, goldman sachs seems to be an anomaly now. are they really still going to demand -- is david solomon really going to demand workers come back five days a week? >> the only person that can

really answer that is david solomon, i guess. what i would say is that two years of lockdowns, the rationale coming to the office monday through friday eight has effectively slipped away. people have proved that they can be just as productive at home and they have fallen out of love with the commute. so goldman sachs is insisting that people will still work from the office. they seem to be standing alone on that. jp morgan of citibank are among the banks taking a more liberal approach. only time will tell if goldman sachs will speak to it or not. matt: is it important enough to a new generation of workers to get this kind of flexibility that is going to change the way we work forever? or is this something, a proverbial flash in the pan that in two or three years, people go back to working in the office five days a week? william: according to future

forum, 68% of the knowledge workers that they surveyed want to be able to hybrid work in some capacity from now on. in terms of whether or not it's permanent, it's important to look at the wider cultural changes that are going on in society. as prices are becoming much more expansive, young people are increasingly priced into markets. it makes sense to be living outside the city, where things are a bit cheaper. people have different expectations about family life than they used to be. they want to be able to be a parent and be an office worker and be a banker. if they're going to be dragged into the office, that's the risk of being undermined. so, frankly, i would say this looks like a permanent change that's in sync with the moving times. matt: great story. great to finish right away, so congratulations on your big think piece.

william shaw. and direct them to viewers and listeners, go to your terminal to check out more of these stories. this is bloomberg. ♪ ♪

matt: this is bloomberg markets. i'm matt miller. tempora are etf iq segment. today, valkyrie investments launched what it calls the green bitcoin mining etf on the nasdaq. valkyrie also has a bitcoins futures etf launched back in october. the so far, the sec has been reluctant to approve a spot etf and the cryptocurrencies price. we will talk about that with stephen mcclurg, cio of valkyrie flints -- funds. let's focus on the new product here. so many people want to invest in bitcoin and are held back by one concern, and that is the climate issue. we all know now how much energy

it takes to mind bitcoin, especially when the hash rate jumps up. how do you solve that with the green etf's? stephen: matt, first of all, thank you so much for having me on bloomberg. it's really a pleasure. one of the things that put energy on bitcoin minors is a lot of it is truly overblown. bitcoin minors do use energy, same as cloud computing or any other sort of data house will use energy. but one of the interesting things is when china put a ban on bitcoin minors, a lot of those minors were using coal. so a lot of those minors shifted over to the united states and canada and started using more renewable sources of energy, as opposed to carbon-based. and that has really shifted where the whole industry has gone. so the energy usage isn't actually that bad, but now it's

more renewable than it was even two years ago. matt: so what kind of -- we talked to, for example, ag leverton occasionally, they shift towards green energy. what type of miners or product are in your product? steven: we have a goal of trying to hit at least 75% of the energy consumed by the companies in the fund to be from renewable sources. and we do that on a portfolio-weighted basis. but many of the ones like hive and clean spark and argo, they're already above 90% of renewable energy usage. so some of the places where they're mining, upstate new york, washington, texas, wyoming, places in canada, some of the energy consumption that's being used includes wind, solar, hydro, electric. in one of the interesting things being done now is gas flaring in places like alberta and texas,

in places where there's a lot of shell activity. natural gas is a byproduct, and a lot of it has flared off. but this gas being redirected into bitcoin minors, that's probably the most interesting thing that we're seeing. matt: we recently saw the european union put a green label on nuclear power. is anybody using nuclear? i know that there are places where it's widespread, france, for example, to mind bitcoin. steven: there are some places where minors are present, just pulling electricity off the grid, particularly in texas. there's a big nuclear energy plant just south of dallas. and some of the miners that are south of there are pulling from the grid, so effectively using some nuclear. matt: what you think about bitcoin? give us a price prediction. that's always a fun and difficult part of interviewing anyone related to crypto. right now, we are looking at 45,000? steven: yeah, we seem to have

bottomed out a few weeks ago and now have rallied to 45,000. i really think that bitcoin is going to follow some of the commodities in the coming three to six months. and what's interesting in the commodities space is that there's very little supply right now, so we're expected to see commodity prices go up, with bitcoin going up with it, trading like a commodity. so i think we're going to see bitcoin achieve all-time highs again this year and potentially get to 100,000. matt: great having you want, hope to get you back on in the future. steven is the cio of valkyrie funds, launching a new mining etf. this is bloomberg. ♪ ♪

♪

>> i am jon erlichman. >> and i am matt miller. here the top stories we are following from around the world. corporate credit risks jumps in the u.s. that could spell trouble for the fed as it tries to combat inflation. u.s. stocks are rising signaling investor confidence is improving. confidence dwindles and small businesses as optimism falls to an 11 month low. goldman sachs will dig to bring back the certainty -- looking to bring back diverse organizations but i will note small caps are rising in today's trade. there is not a lot of optimism in canada as protests against restrictions processed. truck blockades halting commercial traffic at critical border crossings with no signs of de-escalation. all of that and more coming up. looks like we are not as

optimistic in general terms but specifically in terms of investing we are. jon: i think today you are right. you hit on the different pockets of the market and for those watching the north american scorecard with stocks, green in new york trading and in canada as well. you talked about small caps having a good session. some of the beaten up technology stocks are finding buyers today. industrials in the mix and some of the stocks that have benefited from this talk of a rising rate environment like financials also finding their groove. there is only one pocket in stocks that has been struggling. some energy names pulling back with crude coming off its recent highs. you raise a good point because if you go a little deeper into the markets we see some of that nervousness that was playing out the last couple of weeks, the first few weeks of the year, in the stock market. that gets us to today for what

it's worth. we take a closer look at the trends with treasuries but also with the corporate debt market. here is credit spreads widening as u.s. yields also rise. the white line shows you the treasury yields, the 10 year yield has been moving higher. bond prices have been under pressure. there was a dynamic previously when we talked about the 10 year yield going up and in the investment-grade market built a healthy appetite. this time around, you can see it in that yellow line, there has been some noticeable selling pressure in some of those riskier corporate names. i think that speaks to some of the risk under the hood of investors right now. feeling a little jittery. matt: if you look back to january, february, march of last year you had the 10 year yield

rising but credit spreads stayed tight. it looks like they are getting blown out. we see that across the globe, not just with corporate credit but also with the periphery in europe. greece, spain, italy all getting wider and wider at a much faster pace than we have seen since march 2020. jon: let's get more context. invesco's head of distressed credit. nice to have you. we have now talked about investors navigating away from riskier growth stocks. in terms of the riskier part of the bond market what would you say has been going on? paul: i think it is different in the u.s. versus europe. in europe we are seeing a particularly interesting opportunity to buy distressed debt in the secondary market, particularly smaller companies. that makes sense given the

european economy came into the pandemic on weaker footing at the lockdowns were more severe. with respect to the u.s. market i think it is different. we are not really seeing any crack's in terms of larger markets and the smaller market is still very active but it is not in the secondary traded markets. it is smaller companies starved for capital coming to the distressed base for private capital. i think the exception has been the high-yield market where, if you go back to the end of the year, high yield and leverage loans were on top of each other. in the last four weeks high-yield has a rough start of the year and it has widened out. that makes sense in the context of what is going on with respect to inflation and likely fed action later in the year. matt: what kind of fed action do you expect? a lot of guests coming on our

programs at bloomberg have been saying they expected to get better in the second half, coming back down to around 3%. on the other hand, the market is pricing in now i think five rate hikes for the fed. paul: i think we have had a different view than the market since last summer in that, obviously the monetary policy over the last year or two is going to impact what the fed does this year in terms of hikes. but if you look underneath the sectors where inflation is severe, there has been historic underinvestment in a lot of the supply, manufacturing and logistics. our view is inflation is likely to be more persistent and stickier than the market expects. we think in terms of what will go on in terms of credit spreads in the high-yield market could provide pretty interesting

opportunity with respect to investing if the trend over the last four weeks continues. jon: an opportunity to watch for. since we earlier were showing our audience what has been happening both in investment-grade debt and also with the 10 year treasury yield, as we are moving towards that 2% level if we start moving back towards 3%, symbolically is there anything you are going to be watching for in the corporate debt market? paul: we are really much more focused at the company level in terms of what we look at on a daily basis. we are starting to see if you look at the portfolio companies, we are starting to see inflation have an impact. would not say it is material yet, but if this continues and when we see rates arise, that could present an opportunity in going back into a sustained distressed cycle and provide interesting opportunities beyond

what has happened in the high-yield market. matt: i mean, what levels are you watching? 3% on the 10 year would be -- it feels like a long way off -- but already we see rates rising and it must be difficult for some companies to roll over debt when they need to. paul: and i think that is true and if you look at individual companies and their ability to pass along higher wages and inventory costs, that is starting to come up against pressure as well. in the next quarter or two things will look materially different than they do today. jon: one final one for you. if we think about the companies that are going to have the larger challenges, may be more of a sector question going forward, who is on that list? we have sliced and diced different pockets of the stock market within the corporate world or the distressed world. what are the sectors to be watching for that have the

challenges? matt: anyone reliant on ships. paul: auto is a sector to watch. i think more interestingly the way we think about the last 24 months is industries where business models have changed for the long-term or permanently because of covid. that might be business travel, the theater space, versus industries where it has been a temporary dislocation. in terms of reopening trade if you will, we are far more interested in businesses that are temporarily dislocated and ones where the business models will remain robust versus industries where there might be a permanent change in how they make money over time. matt: great to get your insight, especially on a day like today. paul triggiani of invesco, appreciate you coming up. trucker protest halting traffic across a key bridge between u.s. and canada. speaking of auto production, we are live at the site of the blockade.

this is bloomberg. ♪

♪ matt: this is bloomberg markets. i am matt miller with jon erlichman. time for the stock of the hour and it was, i admit, a favorite of mine, harley davidson. kriti gupta is here with the details. i am going to guess not a rider. kriti: no but i knew you were. i prepared slides just for you. [laughter] this comes after the ceo completed the first year after a five-year turnaround plan. feel free to editorialize with

your motorcycle knowledge. i don't have any but i do know they have 45% of the u.s. market share in motorcycles over 600 cc which i learned was a specific category. i am learning. you are going to be proud of me. this is a big deal for harley davidson because we know spending a luxury is a big deal and harley davidson has not necessarily had it. they were not expecting this much of a surprise and they came out with a pretty big one. coming out with a $.15 per share. the analyst expectation was a $.32 loss. matt: i think it is interesting. the first quarter is the weakest quarter? good. i get you are not buying a motorcycle in january. but, a lot of people by motorcycles with bonus money.

as soon as bankers get the bonuses may be the end of january, and february, they are buying a big hog. as you mentioned it is a luxury product. these are not cheap. people are spending $30,000, $35,000. kriti: we know where your bonus goes every year. [laughter] if you compare this to how the other four wheeled vehicles performed, we have a stock chart that compares them. harley davidson outperforming ford, gm, even tesla which i would argue is where the bonus money goes. it is not just on the top line. every part of the sales process really got folded in to the gains. jon: before we wrap things up and we represent the casual observers of the harley davidson business, the one thing you talked about throughout earnings season is navigating through supply chain headaches. are there any takeaways when you

take the story and the others you have been watching among automakers and others that we can put in our back pocket as we get through the year? kriti: one of the big trade-offs is you know the supply chain issues, you have a labor costing more, and a shortage which affects the supply and demand. can you pass on the cost to consumers? ultimately, will consumers actually buy at higher prices? it seems harley davidson is a success story. you are not seeing that across the other sectors. matt: you are looking at penn america which is -- which is the pan america. you think of a harley as a v twin but it is more now. shameless plug, i will be going to ducati thursday morning to look at their new bike and will show you that friday. jon: all right. i thought you were going to say

you were going to do to the desert and do a video is saying. i have full confidence in your abilities. thank you for the helpful report. we have been watching the situation at the border. groups of truckers have halted traffic at one of the key crossings between canada and the u.s. the ambassador bridge into detroit. the prime minister saying the blockades threatened to hobble the economy and undermine democracy. let's get more perspective from the ambassador bridge. we have been covering this and joins us now. maybe you can explain to us how things have been playing out. what is happening on the ground right now? reporter: right now the border crossing at the ambassador bridge is at a complete standstill. it has been like this since 8:00 p.m. last night. around 6:00 a.m. evening traffic was reopened.

however, those coming into canada are still locked out. not a single vehicle has been able to come through the ambassador bridge into canada. the protesters i spoke to said they are staying here for the long haul, even if it takes weeks. they are blocking this border. matt: i am getting comments from viewers and people are wondering how is this undermining democracy? is it civil disobedience important for a democracy? sijia: we have heard people who are fed up with the pandemic and have the right to protest. despite the fact they are blocking the border we have not seen police do anything at this point. people are fed up and they think this is the last resort for them. jon: thank you for your on the ground reporting.

we will continue to watch the story at the border in detroit. coming up, as small businesses struggle with inflation we get perspective from the global head of corporate engagement at goldman sachs and talk about the initiative to support diverse businesses amid higher prices. this is bloomberg. ♪

♪ matt: this is bloomberg markets, i am matt miller with jon erlichman. record share of u.s. small businesses raised prices in january to combat higher costs of material and labor. i think it is what you would expect as we see the input cost rising so much they need to keep margins healthy, and as a result, they are going to raise prices. interesting to see they still have the pricing power to put

those through. jon: absolutely. i would totally agree with you. we get a taste of this through the companies reporting earnings and that manage -- did you keep prices the same? did you increase them? more than 60% of owners of smaller organizations were able to pass on higher prices. i suppose there is pricing power but it is a frustration to many they had to raise prices in the first place. matt: well, inflation can be frustrating for small businesses as well as many other things. joining us now with more is asahi pompey, global head of corporate engagement at goldman sachs. thank you so much for joining us. goldman sachs has, for years since the financial crisis, been really involved in small businesses. what are you hearing right now about the frustrations they are facing as we come to, hopefully, the end of the pandemic? asahi: great to be with you.

we are nearing your three since the beginning of the pandemic -- year three since the beginning of the pandemic. small businesses feel like they cannot get a break. they hope at this point the narrative would be things are normalizing. but our 10,000 small business data shows the challenges have worsened over the last six months and their frustration is worsening as well. their optimism is beginning to decrease. that is the result of the triple whammy as i call it, labor shortage as you pointed out, supply chain issues, and inflationary pressures. that is having both a devastating and disproportionate impact on small businesses. matt: what did they need? what can goldman sachs do to help? asahi: one of the things they need in particular is they are asking for the covid idle program to be renewed. you will recall that expired at the end of last year which provided low interest loans to

business owners up to $2 million. access to capital continues to be a strong concern for our small business community and they are calling for the renewal extension of the covid idle program. jon: i would imagine some of the frustration that some small business owners feel toward government really depends on what part of the economy your business represents. certainly on this program we have spoken to a range of business owners but the obvious one would be the restaurants and the challenges they have had. are you getting that sense as you have spoken to small businesses across the country? asahi: you are right. food and retail have felt the concerns more acutely but in terms of labor here is what our 10,000 small voices data shows. 97% of small businesses that are hiring saying the labor shortage is adversely impacting their bottom line. they are seeing that

pull-through and we see it on the customer side. when you walk into a store and if you are having a hard time finding someone to help you. when the checkout line is longer. when you go to open the door and it says closed on monday and they are not usually closed. those are all the impacts of the labor shortage we are seeing and a lot of that is driven by a number of things, childcare concerns, more men reentering the workforce then women, competition between big business and small business for the same labor pool, and health concerns. this is a pandemic for a number of workers still on the sidelines concerned about health. matt: thank you so much for joining us. great to get your take. asahi pompey, goldman sachs foundation president of corporate engagement talking with me and jon. i want to take a moment to look at the markets. the moves we have seen in the yields have been really

interesting they are rising as well. the ftx -- tsx i should say as well as the s&p 500. text docs getting 8/10 of a percent. the 10 year yield right now at 195,05 and we were at 170 and change on friday. we have rallied 20 basis points in yield over the past four sessions and that is a sharp move which is why we see the spread flowing out. jon: we have seen selling pressure this year. we have seen that to the s&p 500 and now you have this lineup a different strategists with different views. we talked endlessly about cautionary comments coming from morgan stanley, bank of america, but this week we talked about jp morgan making the case for getting back into stocks. maybe this hawkish sentiment,

which is warranted because rates are going up, has been factored in. we have to watch from here. good debate happening for sure. matt: we will continue to watch this. the closes up next and it will be interesting to see how the markets trade. this morning we were looking at a roller coaster between gains and losses. no sustained the rally the past few hours. it will be interesting to see if these rates don't spook investors at the close. maybe people are selling the rallies more than they are buying the dips. for matt miller and jon erlichman -- for jon erlichman, i am matt miller, this is bloomberg. ♪

mark: i am mark crumpton with first word news. french president emmanuel macron

sees an agreement from russia that they will not escalate friction with western nations over ukraine. president macron also said president putin agreed not to undertake any new military initiatives in the region and withdraw russian troops from belarus. president macron spoke with reporters in kiev today after meeting with the ukrainian president. >> we spoke with president putin. he told me he would not be at the origin of escalation. i think that is important. mark: the kremlin is casting doubt on that report. president putin's spokesman declined to comment on any military deployments. moscow repeatedly denied it plans to attack the ukraine. the u.k. government is willing out the prospect of an early election in early ireland saying it will be held may 5 plant. it ends the uncertainty

fo