still with us is martin malone. where is your view now?t are you saying in terms of the data at hand, and your team and your view on whether or not this is transitory or embedded or the timeline for the fed. martin: we do view there is a transitory issue, and structural issues that could come about, but simply in q3, we see a peak out of inflation just over 5%, and that could taper down to probably 4% in the first half of next year, and the second half of next year, down to the 2% figures. the fed is right about transitory, but it could upset -- could be upset by events or if we see restrictions on color wages. manus: what is the bigger risk, $100 oil, goldman says $80 employee -- oil impacts inflation. what is the bigger risk for you and how should you position? martin: i would not be too concerned about an excessive oil price simply because opec have significant supply potential to put on. they are currently producing around 27 million barrels per day and they could easily go up to 30 million barrels and that would stop any oil above $80

tom: we are joined by martin malone. good morning.key takeaways for you from this disappointing jobs data? or at least the miss versus the forecast? guest: actually, we are not disappointed about it at all, really. it is a delta issue to a large extent, and we are very optimistic about the jobs market simply because of the output count. we see wider unemployment measure outperforming. that is error key measure. -- that is our key measure. much more importantly is what is happening today, and even though it is labor day, 10 million people will fall out of the labor market subsidies in the u.s.. the september reports, which we will get in october, that will be the most important signal from fed policy in tapering for the rest of the year. anna: good morning to you. talk to us a little more about the different measures of unemployment and what that tells us about the structure of the market? guest: we lost 20 million jobs last year, and it rapidly rebounded around $15 billion -- 50 million or 16 billion. -- 15 million or 16 million. the

martin malone talks about -- is not a boomer market. in other words, stocks are under 35% of gdp. in 1990, the warning sign was 140% but it's a different market. it's not all housing. it's not all finance. is it? tom: it has reformed this market in terms of corporate governance. positive changes when it comes to corporate governance, allowing more of those foreign flows into the japanese market and that is a relatively stable yen that will continue and may be some strength in the japanese currency. foreign flows into japanese equities on the back of what investors seem to see as optimism around political change. manus: on the top of your board. tom: absolutely. we are seeing gains close to 2% on the nikkei at 30 year highs above that across the japanese markets. the asian markets as a result of what we are seeing in japan are brca positive this morning -- are broadly positive this morning despite revelatory changes and a focus on the financial sector. the futures -- it's labor day in the u.s., but futures are essentially flat, looking to the u.s. aluminum hire on that story of the