rising brazil and especially as the 2nd this looming economic crisis which really really threatens mr posen all rose government it's very brave in brazil that a president survives a monumental economic crisis and brazil what is it 6 b. hits by its worst economic crisis probably in a century as a result all the coronavirus mad the global economic downturn certainly worrying times there for brazilians are not it also has now. confirmed cases of corona virus infections after the u.s. and russia at what measures are being taken to curb the spread of the virus. well quite frankly measures across the country have in the main be fairly lackluster where i am here in sao paolo that has been a closure an official closure over no longer essential businesses so banks and supermarkets for example stay open but if you walk around my neighborhood if you walk around sao paolo you will find that a still open some restaurants that are still open but all those that are still open a lot of this also has to do with conflicting messages being saint's from mr paulson our himself who you mentioned before has consi

up next, a conversation with adam posen. this is bloomberg. ♪ w?w?his morning, there will be an end to this pandemic. stocks and bonds price the expectation of a return to normal, or at least a new normal. look for a june surge in bankruptcies. wind ofe, and july, the this crisis. distant,nt is socially particularly over the weekend, and the politics of wearing a mask? golfs, one prime minister explains a 260 mile drive and another prime minister says goodbye to a 96-year-old mother from a distance. this is "bloomberg surveillance," on a most extraordinary tuesday. tom keene in new york, francine lacqua in london. the juxtaposition of the uproar in the united kingdom versus the silent courage

fed chair jay powell speaking this morning to adam posen of the peterson institute in washington, d.c.. he pushed back against the idea of negative interest rates in the united states. he urged monetary and fiscal policy makers to rise to the challenge in order to avoid unprecedented downside risk. chair powell: while the economic response has been timely and appropriately large, it may not be the final chapter given that the path ahead is both highly uncertain and subject to significant downside risks. economic forecasts are uncertain at the best of times, and today the virus raises a new set of questions. vonnie: for more, we are joined by david rally of lupe asset management, their chief investment -- of bluebay asset management, their chief investment strategist. what was your take away from jay powell's chat without imposing -- with adam posen, optimism or pessimism? david: i think he was giving a realistic assessment of the outlook, and i don't think he was being overly pessimistic, but he was highlighting, correctly in my view, that the risks are very much skewed to the downsid

seeinge changes we are from tuesday into this wednesday, chairman powell with adam posen and the pearson institute at the virtual conference today, that will galvanize global wall street. jack ablin here with us in a moment. here is ritika gupta. ritika: we are waiting to see if jerome powell gives anything up about what he will do next. he may call for congress to do more to combat the possibility of mass bankruptcies and long-lasting and a lack of enthusiasm for negative rate. administration's shrugging off comments that "we prevailed." infectious disease chief anthony found she warned communitiesned that outbreaksger of new and denied he has a confrontational relationship with president trump. the british economy is plunging into what bay -- what may be the deepest recession in three centuries. it was down 2% for the quarter and things are expected to get worse this quarter. the bank of england is forecasting a 25% contraction. amazon's delivery time is becoming normal. a list of restrictions on the amount of inventory supplies that can be sent to amazon warehouses. global news 24 hou

posen modeling out a new, stronger euro perhaps.e the idea of hong kong really not playing big in the pages of "the washington post closed and "the new york times post" and washington "the new york times." with decades of experience in hong kong, our rishaad salamat joins us now. how big were protests over the weekend? come -- they were big they were small compared to what we saw last year, but certainly ones we have seen in months. we got pro-democracy groups calling for general strike. nationalis on the security law coming out of beijing. tomorrow is carrie lam's birthday, and there are calls from her democracy people to celebrate that, so protests are planned near the legislative on a bill thatg would criminalize any disrespect of the chinese national anthem. police have been set out in anticipation of protests. there have been barricades near the legislature and government offices, and right next door to them, the people's liberation army garrison building. it is relatively calm right now, the calm before the storm, you could sa

federal reserve chairman jay powell spoke with adam posen at peterson institute in washington this morningushed back against negative interest rates, and urged fiscal and monetary policy makers to rise to the challenge or face unprecedented downside risks. joinedout it now, we are -- to talk about it now, we are joined by michael mckee. the question going into this was what with the fed chair say about the possibility of negative rates. he seemed to dismiss it out of hand. michael: it is no longer on the table. it never was on the table, he said. they don't rule anything out completely, but he did throw an awful lot of cold water on the idea, pointing out that the last fed meeting, every member of the fed discussed it and said they don't like it. it really doesn't stimulate the economy. it hurts the banking system badly. it would mess up the money market system that funds american companies. it would hurt savers. nothing really good about it. the fed trying to pound a stake into that vampire. it doesn't look like from the futures trading that the vampire is quite dead, but right now there

now seeing an uptick in new cases >>this holiday weekend millions of people headed to beaches and posen parks and not all of them followed social distancing guidelines or even wore masks as rosa flores reports first tonight, a handful of states are now seeing an increase in new covid cases. >>scenes from the unofficial kickoff to the summer showing many americans not practicing social distancing measures you wouldn't know a pandemic was going on by looking at the beach today over the weekend people crowded beaches and parks and even restaurants and bars and biogas sick one day mean that everybody ages is in this pool party in the ozarks showing revelers near the arm to our question take a look at this police footage from daytona beach showing hundreds gathering in the streets for residents are excited about having access to their beach. >>so we're bigger out how we can control these crowds and largely now we could form the visitors. >>ocean city maryland's boardwalk packed with people many of them without face coverings doctor deborah birx urging americans to stay vigilant with social d

you heard adam posen mention this concept called historesis think about a couch when you sit in it, you get up it's supposed to bounce back up. what if you get in it and you get up and it doesn't bounce back up. it's the idea of long-term damage, it's a concept that essentially you have a liquidity problem now that over time could turn into a solvency problem i think you're right he's doing risk management here and saying when i look at the worst possible outcomes, the worst possible outcome is that this thing goes on longer. you talked about this metaphor of building bridges. it's a smart one what i think powell is saying is get the barges ready, build the pylons and get ready to put those things in the water to expand or lengthen this bridge because you may need it sooner than you think >> steve, also interesting to hear his somewhat -- i wouldn't say emotional, but his comments on small and medium sized businesses, what that means to the fabric of society, far beyond the economic toll that those businesses will take i want to bring in jim cramer who unexpectedly can't seem to stay aw