>> where more than halfway through the trading day, stocks falling over some concerns with central banks, all trying to tame inflation, which has been stubborn so far. i am taylor riggs and this is "wennberg markets." -- "bloomberg markets." ♪ taylor: let's take a quick check of where we are in these markets. you're seeing a little bit of equities falling here on the day. you have the s&p rolling over 42.72.

it was 4300 yesterday. a bigger hit as well, big tech names rolling over. that is what you see here again on the 20-year. that is the key bellwether we have been watching. i think right now, eight basis points on the day. we continue to talk a lot about the inversion. that has continued as well. i wanted to bring apple, since tech is lower on the day. apple, of course, is the reversal of that. we are hearing a great skip from our very own mark gurman from -- about an iphone 14 that is supposed to hit stores may be around mid-september. as a turning reports from some major retailers continue to rollout this week, some of the latest retail numbers show delta stagnating in july. some gains did seem to show

resiliency. weighing and just on how healthy consumerism is speaking earlier on bloomberg. >> every single company has talked about the fact that whether it was late may or early june, until mid july, there were pressure points. that consumer who is basically below $100,000 income was pressured by rising gas prices paid what i am still hearing from retailers as there is still a mismatch and we are going have more goods available in september and october. but these are prices to benefit from. taylor: at it more on those numbers with our very own senior u.s. economist. what did you make from some of the retail sales, which we know are nominal? we know that they are not doing inflation justice. >> those are telling us that gasoline prices dropped really helped consumers spend money

elsewhere. we saw increases in online retail spending. we actually had amazon prime day in the middle of the month, and that was very helpful. that helped increase. consumers are holding up. numbers are really telling me that it really matters, inflation matters. you get it while you can because, who knows, maybe gasoline prices will start rising again in the fall, and that would be detrimental to the consumer. for now, it looks like it was very helpful, providing some needed relief to the consumer. i think we will see that in the fourth quarter gdp numbers. taylor: how do you measure the stickiness, the responsiveness of consumers? one of our stories, we talked about how gasoline is a big drag. it helped give a big boost to the consumer. are they as responsive as we think? >> i think so.

the decline was quite substantial. consumers are very price-sensitive right now, especially because food prices are surging. that actually boosted the number a little bit in retail sales. but i think what you really need to look at is how sensitive consumers are to bargains. we will see some discounts going forward, i think. at the general merchandise level, is it over bloated? retailers, particularly department stores, will have to make discounts going forward. so, watch those prices decline. taylor: some notes i've been reading from economists say adjustment for inflation and also fail by 0.6 percent. among the weakest results we've had in the last 18 months or so, how real is that food inflation and the ability of consumers to adjust? >> i was hearing some stories

that consumers preferred to eat out instead of buying food to cook at home because sometimes it is even cheaper. but it is really interesting that you mentioned that restaurant sales are declining. that just tells you that consumers are very picky and choosy. they need to really see and consider their budgets when they spend money. they are just probably spending it on essentials more than discretionary items. taylor: how does that set us up for the federal reserve? no longer are we just calling this a boring old fed. this is a new, invigorated federal reserve. >> off of the july meeting, we had the surprise in cpi, which was a surprise to the downside, surprising to the upside and wages. they were just showing that wages are still accelerating,

not peaking. so, what are you going to do with it? i think the data is really telling the fed they need to hike aggressively while they can and just speak to the message, the hawkish message. we will see in the minutes today and hear from chairman powell. taylor: where looking at a 20-year bond auction, three point 8% versus 3.35%. we have looked at the 20 year yield for investors. also, as we think of rising borrowing costs, the federal reserve has also rolled down the balance sheet on -- it will likely peak at about $90 billion or so. how much impact today have in this treasury and mbs market? >> i think the intention of the fed is to really do it in the

background. without causing any substantial moves in the market, that is why they talked about it as watching the paint dry, so on and so forth. i don't think we will get any details from the minutes on the balance sheets. it will be really surprising to me. we will definitely watch for clues on an accelerated wind or anything. i doubt we will get that. taylor: we really appreciate it. we will be doing a full qt look on triple takes as we count down to after the closing bells as well. in the meantime, we went to county down to the first word news, and we will do that with mark crumpton. mark: thank you. big changes are in store for the cdc. there is an announcement of an overhaul of agency, aimed at revamping everything from its operations to its culture. in a statement, the doctor said during the panic to make --

during the pandemic, "in our big moment of performance, it did not reliably meet expectations." wyoming republican congresswoman liz cheney is thinking about a possible white house run in 2024. she spoke with nbc following her defeat to a primary challenger backed by former president donald trump. cheney says she will do "whatever it takes to keep trump out of the oval office." >> i believe that donald trump continues to pose a very grave threat and risk to our republic. i think that defeating him is going to require a broad and united front of republicans, democrats, and independents. and that is what i aim to be part of. mark: she says she will decide about a potential presidential run in the coming months. she lost to a conservative lawyer in tuesday's republican primary. the biden administration is

weighing iran's response to a european union you'll -- union proposal. there is signaling of the possibility that a deal could emerge now, after more than a year of full starts. former president trump -- president biden has made restoring it a top policy priority. global news 24 hours a day, on air and on bloomberg quicktake, powered by more than 2700 journalists and analysts in over 120 countries. this is bloomberg. ♪

taylor: this is "bloomberg markets" and i'm taylor riggs. now to a great skit with broken just in the last hour. apple aiming to hold a launch event on september 7, all to unveil the iphone 14. here with more details is marked of bloomberg technology. mark, what do you hear about the iphone 14? mark: thank you for having me. wednesday, september 7, is the current plan to announce iphone 14 in the next version of the apple watch.

these are pretty big upgrades for both products. for the phone, it is going to be the biggest upgrade in two years. this year, it is all about the iphone 14 pro. you're going to see the biggest megapixel jump in terms of an iphone in its history, moving to a 48 megapixel center on the wide-angle camera, the main lens, to get a little bit more technical on that. you are going to see a faster chip in the per model. the most interesting thing to me is a new look for the front of the fund -- of the phone, a bevel around the area of the phone. that will be a little thinner. in addition, the notch, we have the front facing camera for selfies and facetime, as well as face id sensors, those are going to be redesigned. now, instead of having that one be cut along the top, you have two small cutouts. one will be in the shape of a pill and the other will be in the shape of a hole punch. you get a little bit more screen area and a cooler design. on the regular iphone 14, the

big story there, they are getting ready of the any model. that -- of the mini model. i think that is going to be a hot seller. on the watch, you will see three new models, including an update to the main version. it will look like the current one, but will add a body temperature sensor for the women's health sensors -- women's health features. you also have the apple watch pro. taylor: just quickly here, demand is holding up as they head into that 14 cycle. is it a strong demand story? >> i think so. i think there are a lot of people who did not update to the iphone 12 or 13. i think this is going to be a big cycle for apple. they are expecting to produce 90 million units, the same as last year, and that is in an off year, where economies are having concerns, too. i think apple is setting themselves up for a pretty good fall. taylor: really appreciate it.

our very own mark gurman, who is all over the skips he keeps bringing to us. we want to pipit a little bit now. we've been talking about fuel cost increases and supply chain disruptions. shipping rates are now three times as much as pre-pandemic levels. this is all according to the road container index. let's talk to pablo ciano. how do you think you have been navigating some of the shipping costs is last few years? >> hello, taylor, and thank you very much for having me. with all of this going on, we have been adjusting in the last two to three years after the pandemic, to the marketing conditions. we are always adjusting our capacity to meet customer needs. we are also adjusting our postage structure to continue

moving the supply chain around the world. taylor: our prices finally starting to come down? >> we're seeing this with some high-cost items. we used to have significant labor pressure in six month or nine months ago. we are seeing that slowly beginning to become more reasonable market conditions. you were referring before to a decline in fuel prices. we also like our experience and that a little bit. we expect that we are going to be seeing some rates and cost normalizing two similar to before the pandemic. taylor: how is volume and everything as we headed to the holiday season? >> we are very optimistic but the holiday season. although we have seen unprecedented roles of the last two years, we are not expecting similar growth, but we are seeing current volumes stabilizing in the current

baseline. therefore, we are optimistic that we are going to have a strong fix. for most of our customers, like when we were hearing about apple a few minutes ago, they are expecting to have either new products or a big season that is going to be similar or better to last year. taylor: it's interesting. when we heard from some of the quarterly results you issued around august 5, you talked about maintaining that guidance even in the face of what could be a potential slowdown in the global economy later this year. are you preparing for a recession? >> we have a very diversified portfolio, which is allowing us to cope with declines and growth in the different parts of the world. it is very difficult to generalize what is going on around the world when, for example, china is up and down and not crowing that much. we see india growing very, very

fast, as well as the u.s. stabilizing or stable enough for consumption we have seen in the last few months. the advantage of our portfolio is that it is very resilient and can naturally hedge growth in different geographies and the different growth patterns of different jogger fees. -- geographies. we've been resilient to the last several years of recessions and pandemics. we can adjust as necessary. taylor: you've talked not only about some of the regional and geographic strengths, but your business and your own portfolio, freight versus express. what is the bigger driver of growth? >> we still see significant growth in e-commerce. we are not seeing the same growth compared to 2020 and

2021. we are still seeing reasonable growth in many areas. we are also seeing significant growth in business to business in general, particular there are a lot of merchants and companies that are expanding their business to business offering in the online space. we are helping those companies convert their growth into their online business. the main driver will continue to be e-commerce for a while. and it is also going to be supplemented by a strong business-to-business market. taylor: talk about the wage pressures you have faced. >> as we know, the unemployment rate in most of the country is very low. therefore, that offers an

interesting labor market condition. we are one of the best companies in the world. we have been ranked a great place to work, number one in our express business unit. we are great business work certified in most countries. we have no concerns in attracting and retaining talent, but of course labor conditions are forcing us to make sure that we are more proactive and anticipating any type of variance sees -- variances in the labor capacity. taylor: really appreciate you being here with us today. dhl e-commerce solutions ceo, eric cantor. still had, modernity given the ok in the u.k. for boosters with the covid-19 vaccine. why it could be a game changer. this is bloomberg. ♪

taylor: this is "bloomberg markets." i am taylor riggs. the u.k. is now the first country to have a proven moderna omicron-targeted vaccines as a booster shot. meanwhile, back here in the u.s., the cdc announcing an overhaul of the agency after acknowledging the number of failures it made during the covid-19 pandemic. let's get more perspective with one dr. over at the johns hopkins bloomberg school of public health. what do you see with the structural changes of the cdc, given and their words, that they felt like a failure? >> i think the cdc is acknowledging that they could have handled certain things about the covid-19 pandemic a little bit better. they're looking to see what they can be doing better going

forward. we will see what happens with this overhaul. but i do think they are starting to take a look inward. taylor: globally, we have mentioned this booster shot for covid-19. and there is the modernity version of that as well. is that really enough here to get us to the pandemic? >> we're going to hopefully see bivalent users here in the u.s. in september or october. the formulation approved in the u.k. was against the ba.1 subvariant. here, they've asked modernity and pfizer to put together forms against the ba-4 and ba-5. we will not see those quite yet. i think when we get these, they will be an advance. the current vaccines we have don't protect all that well against infection. they are very effective against

severe disease, but not to much against infections. hopefully, when we get these new boosters, they will be more effective against getting infected in the first place. taylor: some other sort of issues we are looking at, monkeypox. should we be worried? >> certainly, i think we lost our chance to contain the monkeypox outbreak when it first came around. monkeypox levels are leveling off now. they are not continuing to grow day on day, but they are not falling either. i think this is something that is going to be with us, to stay for a while. we will have to see how it all plays out in the next few months. taylor: what health steps should we be taking? >> i think the thing for people to know about monkeypox is that in general, it spreads through close contact or through sex. unlike covid-19 and other

respiratory viruses, you are not talking about getting monkeypox from someone who is just sharing a room with you. you have to have a lot of close contact. but for those who are at risk, especially people who may be sexually active with others who are at risk for monkeypox, etc., we are recommending getting vaccinated. there is a very effective vaccine against monkeypox. we are hoping that as this gets rolled out, we will see some effect on a population level. taylor: really appreciate you spending some time with us today. dr. david dowdy, of the school of john hopkins bloomberg school of public health. coming up, movies making a comeback. they have received $3 billion. is this "top gun?" i have to go back and watch these movies we are going to get some insight and maybe get me

back to these theaters. maybe we will go to hollywood, too. the ceo of imax is set to join us next. we are bouncing off the deep loads of this -- the deep loads of the session. apple continuing to push higher. iphone 14 set to be released. this is bloomberg. ♪

mark: welcome. i'm mark crumpton with first word news. former vice president mike pence said he would consider testifying before the house committee investigating the january 6, 2021 insurrection at the u.s. capitol, if he is asked to do so. he made the remark in new hampshire today. he was at the capitol on january 6, cited over the -- residing over the electoral college vote to overturn the 2020 election.

rudy giuliani is facing a special grand jury in georgia today with attempts by former president trump others to overturn his 2022 election defeat. mr. rudy giuliani said he would not talk about his testimony saying "grand jury's, as i recall, our secret." ukrainian president's warning civilians to stay away from military facilities occupied by a russian forces following explosions in crimea. an advisor said the blast marked the beginning of a series of attacks. last week, a russian airbase crimea destroyed fighter jets. china is warning the u.s. not to sail warships through the taiwan strait. the chinese ambassador to the u.s. said beijing uses transits as an escalation by the u.s. divided administration said it would send warships and fighter jets through the straight after

china responded to house speaker nancy pelosi's trip to taiwan with a series of materia exercises. global news, 24 hours a day on-air on bloomberg quicktake, powered by more than 2700 journalists and analysts in more than 120 countries. i'm mark crumpton. this is bloomberg. john: welcome to bloomberg markets. taylor: i'm taylor riggs. it is fun to be here with you all week. we get a quick check on the markets. we start with equities. coming off the deep blows of the session, 42.77 and below the 300 level on the s&p 500. mastec is a big laggard. this simple math is, you put a

higher discount rate in, and the net present value is worth less. we talked about 20 year bond auction, a little weaker, two basis points, so it will rise nine basis points or so as we think about the digestion of the 20 year bond. and a further negative yield curve, 42 basis points. we think a lot about the duration and magnitude of what 40 basis points represents. jon: something we will be watching as we get the fed minutes into next hour. we talked about technology is one of the sectors on the move. retail getting a lot of spotlight time, as well, today, for different reasons. certainly, there is the return of the mean stock frenzy, which has fueled bed bath & beyond. now at $25 a share today. it started this month around five dollars. then we get back to different learning stories, whether it is lows, which have relatively well received results.

tjx also higher, the parent of marshall's, but they are dealing with inflation headwinds. and then you have target, which continues to be under pressure today, down close to 3% as they work through that excess inventory that has been hurting their bottom-line performance. taylor: let's continue there, target, as you mentioned, betting on a second-half have come back, following a profit miss with inflation hitting shoppers at the checkout line. it comes as the latest retail sales figures show it stagnated in july. let's take a deep dive into the numbers. john edwards leads are bloomberg u.s. consumer coverage. it was interesting because target said they got through the inventory overhang in the first half, and they are really looking forward to age two. do you buy that? john: it looks like investors are giving them the benefit of the doubt so far. they did move aggressively to pair those inventories down.

the announced back in june that they were going to move quickly to slash rates, and while it seems to have heard profits more than they expected and wall street expected, according to the company, it worked, essentially. they said their inventory problems are in the past, and they are well set up the second have. jon: now that we have had a chance to hear from so many different retailers and how they are navigating right now at a time when inflation gives them pod, in some -- because, in some cases, allow some to take on less items from the store, do we have a sense of the items they are gravitating towards that they are willing to buy or have the means to buy? black absolute -- john: absolutely. consumers are shifting away from discretionary purchases, like appliances and electronics and home goods, and they are focusing on necessities

basically, groceries, fuel for the cars, and, so, that is hurting margins, a lot of retailers, because those kinds of nondiscretionary goods are less, you know, have lower margins than some of the discretionary stuff. but people do still have money to spend. there is high employment, and there is money out there although people are pinched. taylor: to pick your brain a little more, inventory levels increased. on our sa function, we have 15 billion last quarter of 215.3. are we confident -- to 15.3. are we confident they were through those? john: target address that on their call. they said, yes, while you may see nominal figures look about the same, what they did was they really address the inventory mix that was hurting them, so what they had a lot of was, again,

those products that people really were not going to be buying anymore. they had stocked up on all the stuff to fix up their homes during the pandemic, and they were basically done with that. they have shifted that makes toward things people are still buying. they are ramping up on groceries and those necessities again. jon: now that we have what happened in the quarter and got it taste of how things might be set up to the fall, you have got back to school heading into the holiday season, arguably for target, one of the reasons they are in this challenging position is supply chains were such a mess last year, they were so you're full of not having enough staff, that they wanted to max out for the holidays. what do we know about what is back-to-school/holiday shopping season might look like? john: target and some of the other retailers, walmart, as will come yesterday, they, speaking optimistically, about

the back-to-school and holiday season. they feel like they have worked through a lot of those inventory issues. they feel like they have worked through supply chain issues, although there are still some out there, and they think they are well set up with the mix of products people are going to want. as targeted executives are on the call today, people are still going to celebrate the holidays, they are not going to pull back on that, and again with employment remaining robust, people do have money to spend. taylor: don't give me my christmas decorations before halloween. that is my only request. john: there is halloween stuff already. taylor: the candy i will take. john edwards, joining us from bloomberg, coming up, we get insight into the summer box office and the impact of inflation. of course, still some lingering covert concerns. we will do that with the ceo of imax. this is bloomberg. ♪

taylor: this is "bloomberg markets." i'm taylor riggs with jon erlichman. the hong kong stock exchange posted their fifth straight drop in quarterly profits, but the ceo says he's confident in the pickup of ipo's in 2023. he spoke exclusively to bloomberg. >> when we saw a little bit of uptick in activity in june, and the markets around this part of the world performed a little better, we saw that ipo's quickly picked up, and we have had 16 ipo's in july, so very, very good performance. now, we had all those ipo's on

that 180, so it was replenished. we still continue to see -- it is hard to project when the market will come back. the reality is it is easier for me to project 10 years from now than six months. >> bloomberg intelligence forecasted to stay weak through the second half of the year. there are companies who have not navigated with the national security reviews. i think $5 billion in ipo's so far this year compared to what is 35 or 30 million the year before, and that year, you fell back to number four in the world after the nasdaq and even shanghai. what is your best case scenario for 2023, given how poor this year has been? nicolas: i feel confident given the number of ipo's we have in the pipeline. the pipeline

for quite some time. stephen: but they have been small, only one over $500 million. nicolas: right, there are some out there that are interesting. plus, a lot of companies are converting from secondary to primary. stephen: like alibaba. nicolas: which is an interesting development of not only companies who want to be listed but primarily listed in hong kong, which is a great development for our market. stephen: what about the homecomings? alibaba is somewhat of a homecoming because they have a second primary listing here in hong kong, but we are seeing these increased potentially in the united states, whether it is the state owned enterprises or the tech companies that have run afoul of revelatory scrutiny in the united states and china. are you actively, actively, putting a plan together to pursue these companies to come here? nicolas: we are always looking to attract new companies.

stephen: that is your job, i know. nicolas: at the same time, you have heard me say many times that i want companies to have an option to live anywhere in the world -- list anywhere in the world. the resting for markets overall is to make sure companies have an option and they can list, whether it is here, europe, the u.s., and we want to be competitive. we want to be able to contract, we will make space for any company that meets our criteria. i'm excited about all the companies that are choosing hong kong as their ipo venue. some of them will be moving from the u.s. to the extent that they meet our qualifications and we welcome them. jon: that was the hong kong stock exchange ceo speaking with stephen engle about the ipo outlook right now. talking about the outlook for the entertainment business, the u.s. domestic box office came back in a big way this year. multiple films outperforming expectations. year to date receipts flowing

through estimates on wall street. let's talk more about business of movies with richard gelfand, ceo of imax. nice to have you. thanks for joining us. so far, taylor and i have talked about the outlook for retail and what is happening on wall street and around the world in terms of ipo activity. in your industry as we head into the fall, what is your perspective, where are we going, how is the consumer and outlook? rich: for the first half of this year, imax the 95% of the box office outside of china very did in 2019, which was the best year ever in the history of the box office, so we have really come back in a big way. traditional exhibitors, which, of course, is different, imax is a technology licensing company, are about 65% of that on the way back, but it is complicated. it is not only opening from the pandemic and what movies are

being released, but as we look forward to the file, which is where you are going, unfortunately, we are in a little patch right now where there is not a lot of new movies coming out, big movies. however, the fourth quarter is going to be -- is very promising. taylor: not only about the movies, but about the timing of the movies, when you think about the delay or lack thereof between some of the streaming services and maybe the director home option versus putting them up in the theaters, as well? rich: that is last year's news, the streaming option. basically, streaming at the same time, we are both -- they were both a failed experiment, and there are no studios in north america now who release streaming at the same time. they realized that did not work, and it went away, so there are 45 day windows for most movies, for big movies like "drastic

world"" -- "jurassic world" and "top gun," those are no longer a factor. the only remnants of the pandemic left is that special-effects got slow down. so that is why the big movies are coming out in the fourth quarter of the year. and you have the new "avatar" coming out then, the sequel to "black panther." jon: does that feed into -- for example, you expanded your partnership with cinaworld, is it that people are going back that it gives you confidence to partner more and continue growing a footprint? rich: certainly on a global basis that is true. we are in 88 countries. japan, we are having our best year ever, pandemic order pandemic. yes, the comeback in the movies is evidently spurring more

signings and more activity. we definitely feel our growth coming back in terms of discussions for expansion. taylor: how do you feel about some of your own inflationary cost pressures? food, labor, the ability to pass that onto the consumer via higher ticket prices. rich: as i said earlier, we license our technology. we don't set the ticket prices. we get a percentage at the box office from the studios and a percentage from the exhibitors, so none of our costs are really affected. it is the exhibitors' costs affected. to that extent, it does not really affect us. however, we have seen some ability to raise tickets. "top gun" in new york for the opening weekend, they were charging like $30 a ticket at imax versus $22, which is the typical price. i don't really see that as wind at our back. if anything, since we don't have

the cost side, we have the revenue side, and we might be able to benefit from that. jon: it was remarkable to see that appetite for "top gun" over the course of the summer. rich, thank you. rich gelfon, the ceo of -- which gelfond, the ceo of imax. we are moments oil from the latest guidance of the federal reserve minutes. we have a preview, next. this is bloomberg. ♪

jon: this is bloomberg markets. i'm jon erlichman with taylor riggs. we are minutes away from the federal reserve minutes. let's get some perspective on what to watch for. sevin yltekin joins us with a

preview. what are you going to be watching for when the minutes cross? sevin: when we hear about the minutes, we will be looking at what the discussion is about and if that gives us a sense of perhaps the next move of the fed. we got surprised with 275 basis points increases, and we will be watching to see how that discussion unfolds and if they anticipate another 75 or something smaller given that inflation is having at least perhaps to go down a little bit according to the numbers we receive. taylor: and a hot jobs report we got, as well. does that signal further ability to go 75 if needed? sevin: absolutely. we look at where there is resilience in the economy to be able to actually absorb that kind of an interest rate increase. if we were seen economic activities across the board, whether investments, labor market, consumption, stocks really would take a hit, and we would expect the reserve to be more cautious going

forward, but consumption and labor numbers are looking good, so that does give a little resilience to absorb another hike increase. jon: one of the other things we have talked about, even today with retailers working through supply chain issues, how key is that being global macro issue and selling some of these other challenges we are trying to figure out when it comes to possibly higher interest rates? sevin: it is massive. it is absolutely massive. what we have seen to the pandemic is companies that are able to tap into the supply chain and actually get their inputs, as been able to ship their products. those companies did well, and actually survived the pandemic pretty well. it is the smaller companies that were not able to survive the pandemic, and that really decreased competition in the markets, and what we are seeing is with that look of competition, there is a higher markup in prices. and that is fielded to inflation. so it is good news for the

consumers, the economy as a whole, and for certainly producers who are importing materials that were getting resolved supply chain issues. taylor: what about the hikes in june and july that people so we want feeling till next year, let alone feeling the effects of those, what is the lag time? sevin: it is a bit of a gas rather than a science. we have seen it historically monetary policy take as long as 18 months to really hit. that is always what makes it difficult to be able to hit it on the targets because if you actually passed the mark, then you might as well do damage rather than good, but at the same time, we are looking at the market and we certainly seem to have amassed some wealth and have decreased their debt levels. that is going to take a little

bit longer for the interest rate hike to bite compared to the past. taylor: really appreciated, sevin yeltekin, dean of the simon business school at the university of rochester. really appreciate you joining us here in studio. jon, we continue to count down in the minutes we have left, getting out to big minutes, and we think about any further clues of 50 versus 75. jon: the commentary we have heard from fed officials since jay powell made that last decision on interest rates, staying committed to aggressive policy. we have seen that in canada the last 24 hours with the bank of canada's governor making it clear with inflation easing that that is part of the equation, so we have seen that plane on the markets today with the technology stocks under some pressure once again on that interest rate worry. taylor: apple may be the outlier as we think about some of the 14 headlines that,. and s&p 500 -- headlines that

come out. and the s&p 500, about .7%, the markets under pressure today. a five year yield jumped 12 basis points on the day.

caroline: i'm caroline hyde. moments away from the latest release of the minutes and the fomc, of course, how hawkish are the sentiments going to be? we have seen bond yields creep higher, all of this as we await to digest the nuances in the previous meeting and how it pushes us forward. let's get to bloomberg's international economic correspondent michael mckee. michael: well, you preview the minutes and you have to feel it is a