going to the federal treasury.o the housing gses, and that that will be beneficial for shareholders. liz: why did they believe it the last three days and now not so much? >> because people are starting to realize the stock popped. and i told people this. this is a penny stock. straigtrading at $3. it's above $3 a share now. the bottom line is this, both fannie and freddie, these traders got in on that news and the news that basically this is a 30-dollar stock. that the courts will rule in their favor. again, that's a playoff what the greenberg trade is all about. that combined with my story sent the stock up, traders are trading out, and that's what i'm saying, when you trade stocks for a living or you do it in your basement, this is something to be careful about. these are volatile. greenberg's case is being heard, the oral arguments, final oral arguments in march, in the spring sometime, it will be over. if he wins, there will be a pop in fannie and freddie just on the reasons i mentioned. during the story though

the profits out of fannie and freddie which are very profitable right now, putting it in the federal treasuryeddie have repaid most of money. liz: they're still taking the profits. >> so you have major hedge funds including fairhome out there arguing in course that this is an illegal taking. so what you had recently is as the tide -- as people start talking about this greenberg case, you have a bunch of money managers starting to jump in the stock. now, when we exposed this trade yesterday, the greenberg trade, stock was unfairly significantly late last week, it surged today. from what i understand -- liz: now it's up 24%, charlie. >> as we're speaking. from what i understand from our stats expert, charlie brady, this is the biggest volume all year. it's clearly the highest the stock's been all year. and it's kind of an interesting thing. liz: what happens if hank loses the case? >> you know, three relate tically it could -- theoretically, it could go down. we should point out if you at home want to try this, handle with care, caveat emptor. these are penny stocks, they're very volatile s and

something like 20 or $30 billion in the federal treasury and inseparable these companies did expand theirback and you guys know this is an investment show. when these companies by that the stocks, what happens to the values of the shares? it's good for everyone and workers it's good for everyone. can you explain to me the downside? >> the only thing i did not like about it that drives me crazy about tax policy out of washington is these temporary tax holidays. just change the policy, change the rate because if i'm running in some company i need to do -- at least my five-year budgeting. >> you're exactly right, if we could cut out the corporate tax rates to someone somewhere in the neighborhood of this i would like to just happened to the shareholders, if we do that then the companies wouldn't pay this for bringing the money back and that's what we want them to do. i want america to have a fair advantage in money that is stored abroad to come to the united states. that helps american workers. >> we have been out this for six years, that these policies, the labor force is 140 million, less

if there is a responsible party that's where we go first as opposed to the federal treasury.need to get back on when the list will be updated and we'll get to you with specifics on their plans if that's okay. >> that would be appreciated. we did have language within the current spending authorization that requires the department to report by june of this year about the comeprehensive inventory and what the plan is. i think you sense the priority when you were up in alaska in addition to the legacy wells which we had plenty of opportunity to discuss what that plan is how we're going to be able to clean up that mess caused by the federal government. we have these native lands that have been conveyed pursuant and just frustration with a decade's long delay in addressing this. please know that this is a priority for me. it's a priority for, i believe, the entire delegation. it's clearly a priority for our native people. one final question for you. this is a question that i am posing at every budget hearing this year. that relates to the administration's proposal for an arctic str

you can't go to the federal treasury. you can't look at the federal government it's a bank.what are the tolls going to be to make up the shortfall? $100 to get from new york to dell jair i don't delaware? i don't know. that's the only recourse. >> and states like california, new jersey illinois already so highly taxed, that you add state taxes and local taxes and federal taxes and a lot of small business owners are paying over 50% of all the money they make they work from january 1st through july 1st, 2nd, 3rd or 4th just to pay off taxes and now have to go again to bail out -- >> no mystery seeing rise lation in states like north carolina texas, arizona, people fleeing high-tax states to seek affordable housing, jobs with a paycheck that isn't decimated by tax after tax after tax. >> awe look at taxes. half of the new jobs created in this country in the fast five six, seven year created in texas. there's the reason. >>> look at other politics now. latest round of 2016 polling shows wisconsin governor scott walker trying to break away from the rest of the crowded gop field.

we already pay a maintenance tax that goes into the federal treasury and is only supposed to be's and maintenance and expansion. while would the president cut it except we use it to compensate balance. we have to keep competitive with what is happening in the world. host: democrat from texas you're up next. go ahead. caller: good morning. i was puzzled by what you said when you said that you buy insurance over the exchange rather than at 67, you are eligible for medicare. i am on medicare and it is better than any insurance policy i've ever had. i wonder if you do not tell us the whole story. of the federal government reimburse you for your expenditure whereas they might not reimburse you for your meta--- medicare? ? turned 65, because i was working, i was told i could take medicare but the state at that time, the federal employees benefits plan. i know there are some people, it is a choice you make when you're 60 i've. i'm still working and i do not think i need to be a part of medicare and i do not mind paying a higher premium. we may get, because of the exchange, i know my wife and

. >> it happens in the federal level, you have the national treasury employees union rooting for president obama and those are the people who work at the irs and the treasury. the problem is you can't vote out the bureaucrats. we've got -- this is the true entitlement state, these are the guys a lot of these workers watching porn at work or doing full time union work and we're also seeing, watch had this, the geo has recommended 9,000 different ways that these guys can cut waste, fraud and abuse they've ignored it through the decades and now the gao has raised a number of federal programs to 32 including tax enforcement. >> and, mike the reason we're not making any progress in can you get our debt our national debt from what is it now 18.1 trillion dollars is because of this, because politicians in the past have made unrealistic promises to public sector unions. >> the public sector government unions, david have become sort of this form of welfare. i mean, you know, they only have to contribute, for instance 6% of their paycheck towards their social security where if you're in the private

. >> i will say that linebarger did work for the treasury won't for many years and collecting for a variety of federal know the treasury department still does work with private >> when these debt collectors work with local agencies, how much access do they have to your government records? >> well, the government agencies they work with supply them with as much information as they have about each person. but a lot of that, this is one thing we kept running into, a lot of that can be outdated or have errors in it so a lot of the people -- and that's where we do want to make the point while these government debt collectors, there are a lot of problems there it's also the governments, it's the fault of the government in a lot of cases as well. because they're the ones hiring these collectors and they're the ones supplying this information which a lot of times can have errors in it. these debt collectors rely on that information to go after people. sometimes the information can be outdated. they use skip tracing techniques to find people and locate them on their own, if they don't have the addresses, but t

alleviate the problem where if they do need to restructure they would have to come to the federal government the treasurynd look for some type of bailout. this gives them a better option. the hope is that congress will view that as perhaps the path of least resistance and pass the bill but right now i would say does not much better than 50%. >> do you support it? >> on the one hand, as bondholders of any type of debt, you don't like to see the rules of the game change. it is important for better rico to have this mechanism, it does create a more predictable path down the road. >> missable bonds are headed for their worst monthly loss since 2013, to think this is the beginning of a sustained decline for municipal debt and will this make it harder for me is about is to raise capital? >> i don't. i think that it is a bit of a selloff in volatility which is really ultimately creates value for the shareholder. i don't think it is indicative of broader problems in the market. we had 12 months of positive returns january, 2015, positive returns. we were due for selloff, we have given back about one .2% of the r

segregation and the treasury and other federal agencies was unprecedented.e trotter nuts. >> it is in the public domain and they can go to youtube and find opportunities to watch the whole thing. i will show excerpts through the hour. we will talk about after we start it. some slaves shown in demeaning roles in the early part of this movie. [video clip] ♪ ♪ ♪ ♪ >> what is the time period? >> before civil war and this is what is known as part one of the movie. the notion here is to show that -- in demeaning roles, but they are a fun-loving bunch of slaves, a kind of harmony about it. and peace and well-being in a way. this is part of looking back to the pre-civil war years that is part of the so-called lost cause and nostalgia for a time that was not so bad really for everybody. >> where was this location? >> in the fictional town of piedmont, south carolina. >> one of the things you notice when you watch the movie is some blacks are actually black people and other are blackface. why the mixture? >> i do not know exactly. the overwhelmingly majority of actors

here she is testifying about a question about her meetings with treasury secretary jack lew. >> the federalve is independent. i did not discuss monetary policy or actions that we are going to take with the secretary, or the executive branch.

here she is testifying about a question about her meetings with treasury secretary jack lew. >> the federaleserve is independent. i did not discuss monetary policy or actions that we are going to take with the secretary, or the executive branch. we confer about the economy and the financial system on a regular basis. we participate jointly in many international meetings including the g-7 and g-20. and we confer on matters that are coming before those groups. >> republicans have proposed bills to put the fed under more public scrutiny. >> greek finance minister yanis varoufakis says that millions are flowing back into greece after the euro bailout deal. not millions of people, but millions of dollars. he spoke to erik schatzker in an exclusive interview. >> yesterday we had a deposit flight back into the greek banking sector. 700 million to be precise. >> 700 million euros came back? >> yes, as a result of the news of this agreement. i haven't checked the numbers but it will be there. >> you are still down. >> it is a question of direction. once you turn the tide you are up. >> he says he is

against all reasonable laws the head of the federal reserve bank, the secretary of the treasury and the major bankers. the sec. of treasury read them the riot act and said this is what we are going to do the next day. but as badly as the united states was hit it did not cascade and cascade and cascade and told me to last quarter at 5 percent. not bad. the europeans had never experienced this before. before. the 4th major crisis of this sort since world war ii the bond crisis, crisis, the third world debt crisis, the loan crisis. all solved in the same way. the government intervened in and the bankers called the government irresponsible for his behavior. a wonderful game that we play. the europeans have no room to go into, know commonality for one thing there was no question it does not want to bail out illinois but in europe the question of germany versus greece france versus germany, this was the question know one went into to our room because it was the bankers that were out of order but in the end the european union was a treaty a treaty of sovereign nations that can go their own way

federal reserve inc. the secretary of the treasury major preferred secretary to a coworker do the next day. but the united states was headed. it didn't cascade cascade and cascade into we grew last quarter of 5%. the europeans had never experienced this before. this is what christ is united states is world war ii. the bond crisis. there was the third world that christ did. there's the savings and loan crisis. all solved in the same way. the government intervened to save the bankers and the bankers call the government are responsible for his hit here. a wonderful game we play. the europeans hobnobbing to go. they have no commonality. in that room no question, it doesn't want to bail out. but the question that germany versus greece, france versus germany, this was the question and the fact that going bankrupt doesn't mean the people you've laid off are not your problem. so you would expect massive risk-taking didn't occur because it could have been. when it occurred, it occurred on the black market because no one could afford the taxes. there was no google that was going to emerge in europe.

treasury yields have been climbing as many traders speculate that the federal reserve will raise its key rate this year. the euro is higher against the dollar and the yen on hopes for a potential agreement on greek debt. many markets are closed for the lunar new year holidays in the asia pacific region including south korea, australia's benchmark index is not up on the screen at the moment, but i can tell you that it is trading in the positive this morning. >>> japan's leading furniture retailer is mired in a quarrel with its family owner. he wants to remove his daughter from the post of president to revamp the firm's business. company officials announced that founder and former president presented shareholders with a proposal last month to dismiss his daughter as president. he's currently chairman of the company. the proposal points out the need for drastic management reform. it was prepared for the upcoming general shareholders meeting set for march. they posted an operating loss last year the board of directors replaced the president with his daughter. the current management plans

against all reasonable laws the head of the federal reserve bank, the secretary of the treasury, and the major makers, the secretary of treasury read them the riot act about what is what we are going to do the next day. i cannot count the number of laws are broken. but as badly as the united states is hit, it did not cascade and cascade until we grew last quarter at 5%. and the europeans had never experienced this before. this was the fourth major crisis of this sort of the united states since world war ii. there were bond prices, the savings and loan crisis all of them solved in the same way, the government intervened and saved the bankers and then the bankers call the government they responsible for their behavior. it's a wonderful game that we play. and the europeans have no room to go into or no commonality. and there was no question. and they don't want to be allowed illinois. but in europe the question in germany versus greece, france versus germany this was the question, no one went into the room not because it was just the bankers that were out of order but in the end it was

federal guarantee. in some ways similar to the way treasury presented here in this chamber when were a member of the panel four years ago you've done some of that in terms of -- my question is, what is the appetite for private capital to enter into the space and do you have any sense as to what that premium might be for that first loss position? >> well, there is an appetite. i don't know that i can assess the magnitude of the appetite. i think they're playing an important role in the availability of housing finance in this country private capital that is. we're trying to facilitate that role by taking loans off of their books so that they can make more loans. that was the whole philosophy under which fannie and freddie were founded in the first place. and we're facilitating it through transferring risk back to the private sector. that still does not negate the importance of providing certainty in the future by doing g.s.e. reform. >> well, thank you. a number of us are working on that, and we've had discussions with members of the senate with democrats and republicans on this committee and hopefully ther

overall view from wall street that two-year treasury yields will almost tripled by the end of this year. >> this goes back to the idea that they don't by the federalrgument that interest rates will head higher this year. >> the rest of the market is not buying it. this is the interesting thing. two-year treasuries have done pretty well this year and people have been going back to them a bit. the fed keeps saying we are going to hike rates. this is not a normal policy. >> there could be a surprise from the federal reserve in terms of what they do. look at the commodity prices, oil prices, for instance. down more than 8% today. since september, off by 50%. we see a bit of a recovery. >> as much as the surf for safety, it comes down to pick your poison. think about what's happening in singapore or china. the banks have been in surprise territory and the fed has come out and surprised the dovish also. the hawkish may come out and say we will hike rates sooner. if people are very long, short-term bonds could prove to be a problem. >> 11 plus year treasuries, a very different story. >> the biggest banks are going into the longer dated bonds sing expecta

are to take it to its logical conclusion, that would give the federal room to consider raising interest rates. as a result, you see treasurieshe first time this week. we are at the tail end of earnings season with retailers reporting results and their shares are for the most part flying high. kohl's reported numbers that topped analysts estimates. other names that have recently run ported include target each of them hovering near record highs. after the bell today, we will hear from gap and jcpenney. joining me now to talk about how it fits in with the overall market is our editor at large for the bloomberg stocks team. you say valuations are uncomfortably high? >> valuations for the stocks in the xrt are, depending if you are looking at forward or traveling earnings are the highest in a decade. there are a lot of sectors of the market at the high valuations but retailers are standing out there. the xrt is up 14% since oil peak in june. about double the overall market. pricing in some strong earnings growth that we will have to see if it comes through and if oil stays where it is to provide that tailwind. >> pricing in the b

the fed right now the federal reserve, has 3.5 trillion treasuries on their book. so if you look at the strength of the economy everybody knows the stock market's up, some members have talked about the he can quit market being strong and we're in good shape 37 but whenever we do quantitative easing and peel about $10 or $20 billion off, it's like a tablespoon, the equity markets get in a spin. i mean is that your -- do you view the equity market in that way, too? that is it's more fragile than it is strong if you're peeling $20 billion off of a $3.5 trillion issue and they get jittery? >> i guess i'm not sure what the question is. >> well let me -- i'll move on from that one. on the deficit, i was in earlier and you said it's good news, deficits are going down as a percent of gdp. that's good news. i agree with you. and we're moving in the right direction. but then they go back up by 2025 to i think over $1 trillion by most forecasts. and so that's in the bigger environment that that also is lifting up the macro economy. if you're spending borrowing from future gen

treasury note is 1.66%. we just talked about the federal reserve. let's go to rick santelli.you the same question i just asked rick bernstein, which is which percentage of the stock market rally the last six years is directly attributable to the fed? >> you can't go above 100%. >> listen, i think that more than half of the up side in equities has been fuelled in large part to direct and indirect aspects of quantity takive easing. the real issue isn't how much propelled it up. it's how much can stocks stay up as, of course, qe ended and left to its own devices, although zero interest rate policy is rather large. you see the charts, and you can see treasuries really, ryan, have been drifting from last week and a half or so since the big ecb meeting and drifting means everything is in place. yes, yields are going down. they're going down very slowly. the real question is when we put the sale back up and we get more pro active trade, what will trigger is, and what direction? i think it's a pretty good chance to say employment statistics this week might be that catalyst. >> you kn

because as senator hoeven says, you're just going to go around your federal lands and then we get no revenue to the treasury it just doesn't make sense. so we need to work in that regard. with that, i appreciate you have given the committee a lot of time and senator cant well if you want to have the final word -- >> i would just say thank you madam chair for this hearing and i think a lot of members showed up and a lot of questions across the board and i get your point about federal lands and, yes, i'm sure that there's a higher percentage in alaska than in washington state. in washington state we get revenue from those public lands and so that's been a big benefit to us. i want to work with you as we move forward on trying to think about an energy package and what we can do together to bolster our economies and to work together on policies that can move us forward. but i feel like we had a broad range of things brought forward here today and certainly appreciate the witnesses in this particular budget proposal. >> thank you. >>> unless a funding deal is reached, the department of homeland security will par

federal... reserve's goal of 2% hitting that mark in the end of 2017 and beyond. interest rates on treasury securities, which have been exceptionally low since the recession, will rise considerably in the next few years, we expect,... but remain lower than they were on average in previous decades. between 2020 and 2025 the projected nt rest rates on 3-month treasury bills and notes are 3.4% and 4.6%thank you and we're happy to respectively. take your questions. please start by identifying yourself and the publication you work for. well, that should be easy. >> did any (inaudible) projections (off-mike) dynamics stored (off- mike)? >> so our baseline economic projections and our baseline budget projections are consistent with each other in that the budget projections are what we think will happen given the economic outcome we predict and those we expect to happen given the baseline budget projection. soprojections are always dynamic, the baselinei think, in the sense in which you mean that word, in that the budget and the economic effects are calculated... projected together. >. if i may, i

oversight of this judgment fund by stating -- quote -- "certain groups continually sue the federal government and the treasury simply writes a check to foot the bill without providing members of congress and the american taxpayers basic mftion about the payment." close quote. this kind of litigation can have a big impact on sportsmen and others who enjoy multiple uses on our federal lands. this is because the government is permitted to blindly fund lawsuits by activist groups who use the court as a back door to policy making. a recent report from the g.a.o. found that cases filed against the e.p.a. have shown a pattern of these groups working in unison with big law firms to sue under the same statutes in order to push their political agenda through the courts. the legislation that i introduced this week with senator gardner known as the judgment fund transparency act will bring these cases to light. the bill has been included as a provision to the sportsman's act and it will provide even greater transparency and accountability. i'm proud to be a vice chair of the sportsman's caucus, and i look forward to cont

guest: i will say that linebarger did work for the treasury department for many years collecting for a variety of federalies. there is a chance -- i know the treasury department has the option to work private collectors. they could be, but we do not look at that. guest: could these -- host: could these the electors -- collectors work and how much axis do they have to government records? guest: the government agencies that they work with supply them with as much information as they have about each person. one thing that we kept running into is that a lot of it can be outdated or have errors in it. that is where we do want to make the point that while these government debt collectors, there are a lot of problems there, it is also the fault of the government and in a lot of cases as well. they are the ones hiring these collectors and they are the ones supplying these information which a a lot of times can have errors in it. these debt collectors rely on that information to go after people. some of these debts can be like 30 years old. the information is outdated and they're going after the wrong person or s

against all reasonable laws that we have, the head of the federal reserve bank and major bankers brought to the room on a sunday and secretary of treasury read them the riot act and this is what we do the next day. as badly as the united states was hit it didn't cascade and cascade and cascade until we grew last quarter at 5%. the europeans had never experienced this before. this is the fourth major crisis of this sort for the united states since world war ii. there was the bomb crisis and the third world debt crisis and the savings-and-loan crisis. it was all seen the same way, the government intervened and saved the bankers and the bankers were responsible for his behavior. they had no room to go into. in that room, texas is going along with this. doesn't want to bail out. but europe, the question of germany versus wes moore, france versus germany, this was the question. nobody went into the room not because it was bankers that were out of order but in the end the european union was the treaty of sovereign nations that could go their own way. it was not the united states of europe and that came out more and more and more. germany at i

federal register, please? your agency, frankly, along with treasury, the fed, fdic, sec and hud, i know like most charts it is somewhat difficult to read, but on the horizontal axis, this is loan to value ratio, on the vertical axis is default rate. and to the far right-hand corner you see a precipitous rise in default rates when you go from 90% loan to value. and particularly an incredible slope from 95% as we reach no down payment whatsoever. again, this is information that is coming from your agency along with just about every other prudential banking and housing regulator. so doesn't that seem to indicate that, again, a 3% down payment, not only is it not too good for the taxpayer you're putting people into homes that they can't afford to keep. and you have previously testified when you were on this side of the witness table during the dodd frank proceedings, quote, so i've always believed you cannot make a loan to somebody who cannot afford to repay it. that's unsustainable. this is data from your agency and others. so why is it sustainable? >> mr. chairman i haven't changed my position on that. and i wa

abuse at hhs consumer financial protection federal trade commission, department of justice, postal inspection service, securities and exchange commission and treasury department financial crimes enforcement. there was a recommendation they should work together in a more coordinated way so that they are not duplicating but also not leaving gaps. what's your sense as folks who are active and expert in this world the degree federal agencies each have part of this in their jurisdiction really work in a coordinated way or what more work could be done to improve that. >> well, i think that the elder justice coordinating council formed in the elder justice act, that has made tremendous progress, because quarterly all those major agencies come together. you know i suspect some of them had never thought about elder abuse before having to come to those meetings and give a report on what their agency is doing. i know my organization has worked very closely with social security administration to address problems with representative payees who are exploiting victims and how social security can work more effectively with aps. there's a pilot project under way. i

federal guaranty. in some ways similar to the white paper that treasury presented here in this chamber when you were a member of the panel four years ago. you've done some of that in terms, my question is what is the appetite for private capital to enter into this space and do you have any sense as to what that premium might be for that first loss position? >> well, private capital there is, there is an appetite. i don't know that i can assess the magnitude of the appetite but, i mean i think they're playing a an important role in the availability of housing finance in this country, private capital, that is and we're trying to facilitate that role by takeing loans off of their books so they can make more loans. that was the whole philosophy under which fannie and freddie were founded in the first place. and we're facilitating it through transferring risk back to the private sector. so but, that still does not negate the importance of providing certainty in the future by doing gse reform. >> well, thank you. a number of us as i said are working on that and we had discussions with members of the senate

it very nicely simply by quoting the words out of the mouth of the treasury secretary that the motivation for this lawsuit by the federalovernment, it is heavy-handed negotiation techniques bring in 25 fbi agents and federal prosecutors to the same room to meet three or four lawyers from standard and poor's to intimidate them. it demands billions and billions even from people who hadn't even sued. it is because standard and poor's in its response to the government lawsuit said the only reason you sued us is we downgraded the debt of the united states of america and your treasury secretary was upset by that and promised revenge and this is the revenge. tom: part of the settlement of this case is they withdrew the clause in its answer. judge napolitano: accusing the government of vengeance as motivation for the lawsuit. standard and poor's agreed to do that. tom: that is telling the jury disregard the statement. everybody knows about the phone call, the threat back and forth between the company and timothy geithner. judge napolitano: we will never know whether truth is. there is a serious case against standard and poor's

the fact that when rates go up that's going to be a serious hit to the federal government trying to pay interest on all these treasuriest are out there. right now they're not even paying 2% on these ten years, but when that goes up that's going to be a real hit to the economy. >> what is your thought about what they should do and maybe not what they will do? >> well i think what they should do is just keep doing what they're doing. basically telegraph it very success iktly. i think they've been very good about the qe's coming on and then coming off. i think the economy should drive this, and i think that's what they're waiting to have happen and i think the economy, as you see, you know the economy is reasonably good, but i had a chuckle with your comment, tyler. i think paul volcker was the chairman of the federal reserve for seven years, and he gave one public interview in that seven-year time. here we are now -- >> alan greenspan was not exactly the model of clarity either as you listen to his -- >> that's right. >> we have to leave it there to get out on time. we appreciate you being with us today. >> we have break

they authorize to representatives on the floor from federal agencies, primarily those who are leads from different sectors, energy, treasury or the like. i's authorized to have law enforcement there which is an important part of the n kick. state, local governments and private sector which includes both owners and operators, but also information sharing and analysis accordingsation. organizations that group together sectors and represent sectors there on the floor. so by statute the n kick is authorized to have this multidiscipline nation eclectic group of people and extremely helpful to have in statute that these people are authorized to be there and work together those of hugh are lawyers appreciate some of the legal issues we've dealt with over the years and now in statue. do you want to expand on the composition? >> no. >> the statue talks about the roles and responsibilities. it's charged with being an interface and providing shared information awareness and coordinating the sharing of information related to cyber security risks and incidence across the federal government. so, the act provides the authority for the n

federal guarantee. in some ways, similar to the white paper that treasury presented here in this cham per when you were a member of the panel four years ago. you've done some of that in terms of -- my question is what is the appetite for private capital to enter into this space and do you have any sense as to what that premium might be for that first loss position? >> well private capital there is an appetite. i don't know that i can assess the magnitude of the appetite. i mean, i think they're playing an important role in the availability of housing finance in this country. private capital, that is. and we're rig to fa-- trying to facilitate that under which fannie and freddie were founded in the first place. and we're facilitating it through transferring risks back to the private sector. that still does not negate the importance of providing certainty in the future by doing gse reform. >> thank you. a number of us, as i said, are working on thap we've had discussions with members of the senate, with democrats and republicans, on this committee and hopefully there will be an opportunity in this congre

is authorized to have representatives on the floor from federal agencies, primarily those that are leads from different sectors energy, treasury or the like, authorized to have law enforcement there, which is an important part of the nccia. state, local tribal, territorial governments are there, authorized by law and there. and the private sector which includes both owners and operators. but also information sharing and analysis organizations. organizations that group together sectors and represent sectors on the floor. by statute now the nccic is authorized to have this multidisciplinary, eclectic group of people all interacting together and it's extremely helpful to have in statute that these people are authorized to be there and work together, those of you who are lawyers appreciate some of the legal issues we have dealt with other the it's -- other the years is now in statute. do you want to expand on that at all? >> no. >> the next thing is the statute talks about the roles and responsibilities. the nccic is authorized, charged with being an interface for cybersecurity information sharing, providing share situational awar

the treasury department will send special instructions to those 50,000 who have already submitted their taxes. >>> the justice department is fighting a federal judge's decision to block president obama's executive action on immigration. the president's order would protect millions of immigrants from deportation. the white house says paperwork seeking a stay of that judge's decision will be filed by monday and the justice department will also file a separate appeal. the judge's ruling came in response to a lawsuit file bade coalition of states led by texas. >>> rudy giuliani was once the mayor of new york. he is also a former republican presidential candidate. he provoked a political uproar on wednesday night when he said president obama does not love the united states. white house press secretary josh earnest gave the first official on-camera response to that today. >> it's sad to see when somebody who's attained a certain level ofe and evened a admiration tarnishes that legacy so thoroughly pip think really the only thing i feel is i feel sorry for rudy yule. >>>ny today. >> one question might be whether he's tarnished or burnished his lega

advisor with the bush administration and is that the treasury department before he came to that job and also i did not know this and a former federal prosecutor who served on terrorism of prosecution teams prior to 9/11. adjunct senior fellow on the council on foreign relations the first ever special representative to muslim communities from the government. she has been a lyrical a pony in the george h w bush and barack obama administration, appointed the first ever special rep in 20 09 by hillary clinton. she was awarded the distinguished honor award. a senior national security correspondent for the daily beast. she was the pentagon correspondent and reporter and a bureau chief for the mcclatchy newspapers throughout the middle east and cairo. she has covered the war in iraq. she had one stint as their baghdad bureau chief. she has been all over that part of the world. what we start is this summi they had at the white houset. i would like to hear what the headlines are. >> i think the white house was trying to draw attention to the notion of the lineage from al qaeda hasn't ideological underpinning. the white house was willing to

tax credit are they going to receive from the federal government to make their health insurance more affordable? that is the question that hhs and the treasury department are working to resolve. we do anticipate that they will be able to resolve this with them next couple of weeks in terms of sending out the updated form to the small percentage of people who got the wrong one. >> in terms of what went wrong and what you have done to prevent this from happening again, what he done? quest i encourage you to direct your questions over there and the operational steps to make sure it's something like this doesn't happen again. >> laying out details about this operation through the council that is going to be getting underway in a couple of months. it is a very specific operational detail about how many iraqi brigades in terms of forces. i'm wondering why detailed as an advance? does that not give your playbook to the islamic state and make them -- it easier for them to prayer -- prepare themselves to defend from the attacks? >> i think i may have seen some of the same news reports as you on this. discussion is something that is done by the depart

federal exchanges. the court is expected to announce their decision before the end of june. can you tell me if the treasury department or the irs is doing anything to prepare that they might be ruled against. >> let me tell you the affordable care act is working. >> but the court is ruling specifically on the irs rulings >> our lawyers made the argument, the justice department made arguments we think are compelling to the court and we look forward to a positive ruling. but the thing we have to recognize -- >> but secretary, i don't want to interupt. i am not asking for a prediction in the ruling. but in the possibility the court rules for the plaintiffs, what planning is the irs doing to deal with that? >> there is no reasoning why that would -- >> you would bow based on that starting to work for that ruling now? >> the premium tax credits are an essential part of the affordable care act and if removed there would be disruption in the markets in many states. >> to ensure there is not a serious disruption is the treasury planning for the ruling in the other direction? >> we are continuing to implement the l

interest payments, as you know interest rates on treasury debt have been extraordinarily low for the past several years. as a consequence of that even though federal debt is historically high relative to the size of the economy, interest payments by the government have been quite low. so interest payments this year, 2015, we project will be $227 billion. that's just 1.3% of gdp. well below what interest payments were, say 25 years ago. but, over the coming decade we expect the interest rates will move up considerably. and as treasury needs to finance new deficits and rolls over the existing debt then the interest rate that it pays on average on the outstanding debt will rise. with debt as high as it is and with the rise in interest rates, interest payments rise considerably so in nominal dollars the interest payments we think this year will be $227 billion we think will be $827 billion in 2025. that will be 3% of gdp, rather than the 1.3% that they will be this year. as for wage growth, compensation growth since the recession has been a good deal lower than it was before the recession. and although some measures of compensation growth pick up a li

he was at the treasury department before he came to that job and he is also a former -- i know this, he is also a former federalrved on terrorism prosecution teams prior to september 11, including the investigation of the uss cole. we also have the adjunct senior fellow on the council on foreign relations. she is the first ever special representative to muslim communities from the government. she has been a political appointee in the george h.w. bush, george w. bush, and barack obama administrations, appointed special rep to muslim communities in 2009 by secretary of state hillary clinton, she has traveled aboard -- to more than 80 countries and launched initiatives. she is the main architect of the women in public service project in january 2013. she was awarded the secretaries distinguished honor award. at my left, senior national security correspondent for the daily beast. before that, she was the pentagon correspondent, national security reporter, and a bureau chief for newspapers throughout the middle east and cairo. she has covered the war in iraq, she did have one stint as their baghdad bureau chief, and

treasury. i get up phone call inviting me to sacramento. he was governor them. i got a two and a half hour drilling on how the federal government work. i do get something to happen? how does the president set up this policy? how does he get people to follow his policy? what is the president do? what is the budget director do and so on. i came away feeling that this guy wants to be president, but he wants to do the job, making things work. i remember not long after he took office, the air controllers went on strike. the air traffic controllers. people keep running and saying this is very complicated. and he said it's not complicated, it's simple. they took an oath of office and they violated it. they are out. all over the world they said is he crazy firing the air traffic controllers? but he had surrounded himself and he had a man in the transportation department who had been the chief executive of a large transportation company. he knew how to keep the planes flying. and so all of the world it's like, he plays for keeps so you , better pay attention. so it's execution. the second thing in his playbook was always be realistic and do n

treasury market right now, yields up across the board. >> yeah. >> do you have to bring forward your expectation that the federal reserve is going to increaset rates in september? >> i mean i think june is certainly possible and the probability of june has gone up with this report. i think if it had been a weak report even just a moderate one, then i think the probability of june would have gone down a lot. that said, i still think that, you know, despite the improvement the labor market inflation is 0.7 percentage points below the target headline inflation is probably going to be negative or zero wages, you know, even with this correction of the december, you know, downward surprise, which turned out to be completely spurious spurious, still 2% or a little more than 2%, the same rate we've seen for five years. if you look at all the wage indicators together we haven't made any headway in terms of the growth of wages in five years and it's still pretty far below the 3% to 4% range that janet yellin basically indicated was a normal pace. >> so no reason to think that 2.2 is an indicator of an -- a real sustainable acceleration in wages. >> i

federal reserve. it is the committee's intention intention to hold in the longer run no more securities and necessary for the efficient and effective implementation of monetary policy and that the securities be primarily treasury securities. in. in sum, since the july 2014 monetary policy report they're has been important progress toward the fomc objective of maximum employment. however despite this too many americans remain unemployed or underemployed. wage of the sluggish and inflation remains well below: objective. as always the federal federal reserve remains committed to employing as tools to best promote the attainment of its objectives thank you. i am pleased to take your questions. >> mdm. chair, i 1st want to get into measures of inflation. the federal reserve, i understand currently uses and inflation measure the core personal consumption expenditures which excludes volatile food and energy prices. several alternative measures of inflation exist including one called veteran which strips out a larger basket of volatile items from the calculation. i no you know all this. do you think the federal open market committee should incorporate alternative measures of inflation such as trim? could you explain t