alix: we have the senate banking committee chairman currently giving the opening statements. we will bring you the testimony of the senate banking committee later in the hour. this is bloomberg. ♪ >> earlier this month i was pleased to see the fed announced a long overdue taper. quantitative easing should be used in emergencies only and we are well past the need for such support. >> including providing free preschool, paid leave, child care to name a few. democrats are attempting to hide the unprecedented enormity through budget committees. alix: that was the senate banking committee ranking member speaking right now. we are waiting for -- awaiting janet yellen. we want to bring in the bloomberg correspondent michael mckee. what stood out and what are you looking for? michael: not a lot stands out because the treasury and fed chair are trying to be as circumspect as possible, because as you repeated over and over in the immortal words of william goldman, no one knows anything about the new variant yet. how hard does jay powell push back the idea that the fed will taper faster,

it reports to congress and the boss in the senate is the senate banking committee that will be having hearings with both chair powell and the vice chair nominee. this will be an important opportunity for the two of them to help explain the fed's strategy for the coming year. we are facing a very tough situation. the federal reserve has a dual mandate -- ask mom employment and priced ability. they are both important to ordinary people and they have to take a balanced approach to both of those things. high inflation is bad for ordinary people. there are still a lot of people who haven't fully recovered and are not back at work yet. so the fed has to keep an eye on both of those. caroline: you really helped steer the federal reserve in terms of commute occasion and it was interesting -- at the very top, many in the market thought she would be more dovish. is this going to be more semantic but the federal reserve will give the bandwidth to the market to run a little hot? andrew: they need to have a clear plan and strategy how they are going to bring inflation back down to their target. th

he will be testifying alongside janet yellen in the house -- in the senate banking committee care that starts at 10:00 a.m. eastern time. we have already gone their opening statements and we know jerome powell will talk about the risks of the omicron variant poses to the dual goals. the markets will be paying close attention to any hints he drops. also happening at 10:00 a.m. eastern is conference board consumer confidence. consumer confidence is key in terms of economic indicators. this has actually been performing a little bit better than the university of michigan sentiment. we will see if that continues, but you are expecting a slight drop after a bounce in october. later this afternoon, but more fed speak. vice chair richard clarida will speak alongside the cleveland fed president. clarida was talking about how there may be a need to accelerate -- we will watch for headlines from him. jonathan: thank you. that is the big question. do they continue to separate guidance from rates from guidance on the qe pace of the unwind of taper? i think they do, and that is the conversation we h

jerome powell shocked everyone during his testimony to the senate banking committee.e a listen. >> the economy is very strong and inflationary pressures are high and it's therefore appropriate in my view to consider wrapping up our asset purchases which we announced at the november meeting. perhaps a few months sooner. charles: he said the path that both discuss bond purchases faster at these epic eating upcoming meetings. the fed will get a better sense of the new variant, it's impacting the economy and also a first look at the labor reports and consumer prices can inflation. the comments prove to be a fatal blow, we've seen this rebound right before that and now all of the gains, want to make sure it holds above last friday. let's bring in maryland economist, peter. i've got to tell you, it's strange because it's not a surprise the fed was tapering and powell talks about retiring the word transitory more than once the last few times he's spoken so i'm not sure why history is panicking right now, what you think though? here we are, they are going to taper faster than

here is what he told the senate banking committee. >> the economy is very strong and inflationary pressures are high. it is appropriate to consider wrapping up the taper of our asset purchases, which we announced at the november meeting perhaps a few months sooner. kathleen: look at the speed up, the december meeting, he said the taper can be moved up a few months. people think it could mean march. it is interesting the testimony asked about -- why are you worried about expectations. he said it may be temporary, but it is not looking that way. it is persistent, we have the supply chain constraints. his exact quote was it probably is a good time to retire that word. as for omicron, he says it does the economy, but more importantly, he said it is not like the impact of the virus in 2020. we are not expecting that. we don't see lockdowns that can hit the economy. this is very important for investors to understand. he also said the next meeting, there will be more information on the latest economic numbers. jobs report on friday. more information on what the variant will look like, how it will

two days of testimony, first of the senate banking committee than the house financial services committeednesday, and this is his first public remarks since he was re-nominated or nominated to deserve a second term, and since we got the big news, the big market selloff around the omicron virus. what he said in this is very important. he said the recent rise in covid-19 cases and the emergence of the omicron variant pose downside risks to employment and economic activity and increased uncertainty around inflation. he brings up something important in terms of other people aren't willing to go to work. that could slow the improvement in the labor market, it could intensify supply chain disruptions. he also says he sees groundcover before the economy reaches maximum employment. he says inflation forces will linger into next year. the remarks don't include anything about the rate hike path, speeding up the taper, that will be left to people who question him on the senate banking committee. janet yellen testified. she said she is confident a recovery remains strong, perhaps echoing joe biden's

he's preparing to testify to the senate banking committee on tuesday as president biden calls on the u.s. not to panic over the mutation. let's bring our policy editor kathleen hays. and our health care report. and our chief north asia correspondent stephen engle. kathleen, a more dovish sounding powell? kathleen: with a lot of investors thinking that fed could speed up the taper, changing their view of rate hikes government depending largely on what happens with a omicron variant. this does show that jay powell is in that dovish camp. these were prepared remarks an importantly, these are the first remarks he has made since president biden made it official who will reappoint him to be the next fed chair and the omicron variant has raised its head. here is what he said. the recent rise in the covid cases and the omicron variant posa downside risk to jobs and economic activity, increased uncertainty for inflation. he also said greater concerns about the virus could reduce people's willingness to go to work. more work from home. slower progress we see in the labor market. we've seen job

absolutely and by the way, everybody should note that in and of itself, his message to the senate banking committee is not that bad, the economy is so strong that we need to possibly discuss the tapering of these bond purchases that were put into place of course at the worst of the lockdowns last year, but bob , as we look at the nasdaq selling off, the s&p, the dow, the russel 2,000, the small and mid caps are now very close to correction territory, correction of course means 10% off the recent highs. does that send any message and then you look at oil. crude oil is now well off its recent highs of more than $82 a barrel, so tell me what you're thinking when you see these now- discounted prices of different assets. >> well, no question, some damage is being done here, liz, and look i don't think we go straight backup to new highs but you already said it. we're talking about a strong economy. earnings will be good, so the tailwinds that got us to where we are have not disappeared. it's just there's some other negatives that crept into the story, like a fly in the ointment. inflation is one of them.

alix: you're listening to jay powell and janet yellen testifying before the senate banking committee. we will get back to that in just a moment. i want to check in on the markets. we are seeing a dramatic rewriting in the bond market after jay powell mentioned they could consider tapering sooner than expected. that bringing forward the chances of a potential rate hike. you are seeing that her medical move in the front end. you have six basis points -- you are seeing that dramatic move in the front end. apostle of read -- a possible read through his if you get a hike that might hurt growth later on and that is why you are seeing all equity indices rolling over. a little bit off the lows but still down 1.4% within the s&p. the dollar index trying to find a direction. it was higher on the day but now we are treading neutral territory. the yen outperforming. that is the story. it feels like the inflation narrative is still very much contribute into the move in the market today. guy: and we have strong inflation data out of europe. we get the ecb and the fed meeting just a day apart. inter

it was a hawkish pivot before the senate banking committee that triggered a widespread market selloffinvestors questioned the timing of the pivot, the form in which it was made on the unambiguous disclosure the fed was ready to discuss, accelerating that taper. we are going to hear remarks from president biden where he is set to break down his hopes for his bipartisan infrastructure law and its impact on easing supply chain constraints that feed into inflationary pressures. over the next 30 minutes, we will bring you those remarks and dive deeper into the three big risks facing the u.s. economy. you could probably say the global economy. inflation, supply chain issues, and the omicron variant of covid-19. let's get right to what powell had to say today. >> the threat of persistently higher inflation has grown. the test we have articulated clearly has been met. inflation has run well above 2% for long enough. the word transitory has different meanings for different people. it is a good time to retire that word and explain more clearly what we mean. you have seen our policy and adapted

treasury secretary janet yellin and federal reserve chair jerome powell testified before the senate banking committee on their agencies use of the funds. they returned to capitolhill wednesday at 10 am eastern to appear before the house financial services committee . will also streamline c-span.org. also wednesday at 10 am on c-span3 the supreme court hears oral arguments in dobbs versus jackson women's health organization, a case on the constitutionality of the mississippi law banning most abortions after 15 weeks of pregnancy. watch this week on the c-span networks for watch our free coverage on c-span now and also head over to c-span.org to stream videolive on demand any time . c-span: your unfiltered view of government. >> sunday on in-depth historian and conservative commentator victor davis hanson joins us to talk about war, politics and citizenship in the united states . his book titles include the father of us all: the case for trump and the dying citizen in which hesays the idea of american citizenship and its ideals are disappearing . joining the conversation with your facebook comments for

treasury secretary janet yellen and jerome powell testified before the senate banking committee on theirgency's use of covid-19 relief funds. that will also stream live at c-span.org and on the c-span now mobile app. the u.s. supreme court hears oral arguments in dobbs v jackson's women's health organization, a case banning legislation after three weeks of pregnancy. head over to c-span.org for scheduling information or to stream video live and on-demand at any time. c-span, your unfiltered view of government. >> washington journal continues. host: we are back and we will open our phone lines for you to talk about your most important little issue this morning. for democrats, we want to hear from you at (202) 748-8000.

then answering for inflation tennessee senator hagerty will preview the banking committee grilling of that coming up, plus newborns find you funny earlier than you think big buzz of the morning you don't want to miss it. you are watching "mornings with maria" live on fox business. . it has our back. and goes out of its way to help. ♪♪ when you start with care, you get a different kind of bank. truist. born to care. i've spent centuries evolving with the world. that's the nature of being the economy. observing investors choose assets to balance risk and reward. with one element securing portfolios, time after time. gold. agile and liquid. a proven protector. an ever-evolving enabler of bold decisions. an asset more relevant than ever before. gold. your strategic advantage. mom, hurry! our show's gonna start soon! i promised i wouldn't miss the show and mommy always keeps her promises. oh, no! seriously? hmm! it's not the same if she's not here. oh. -what the. oh my goodness! i don't suppose you can sing, can you? ♪ the snow's comin' down ♪ -mommy? ♪ i'm watching it fall ♪ watch the ful

confirmed by the senate, so far, mr powell appears to have bipartisan support stop at the senate banking committeeting his confirmation. but he was less sure on lael brainard, writing i look forward to meeting with her. in opting not to change course at the us central bank right now, joe biden is prioritising continuity. after all the pandemic is not lifted yet, and the extraordinary measures the bank took to shore up measures the bank took to shore up the economy are still in place. but with the recovery comes new challenges, and new policies. jerome power faces a momentous second term. joining me now is alpesh patel, who's the ceo of praefinium partners. so the choice of powell is it the safe choice? lael brainard was also in the running, but many know little about her, what's her background? with the cost of living rising faster than it has for 3 years in the us, across all sectors, biden has spoken of reversing it as a top priority, but the fed has hinted that it doesn't expect to raise interst rates soon, belivieing the curarent high rate is transitionary, but do these numbers put pressure on

that is not a surprise but this is a substantive debate in the hearing on thursday, the senate banking committeewithout senator mark warner or jon tester, to democrats saying they supported her nomination, maybe they will, i don't know but . liz: we heard they don't, they are worried about it. >> minutes got to go to the full senate in all 50 senators going to support it? they can't lose even a single. liz: victim i think of the politics and get into the policies and stop ripping the country apart distracting fight you cook up just because you talk to your corner, just because you've read the story and are planning on and reacting not digging into the facts or documents tedious self-righteousness, it is getting really boring and misleading the country five your position she would oversee two thirds of the banking assets in the country also, a college professor, they have a long paper trail. you know what they have been thinking from it not he said, she said, you can just read it. liz: it's not the fact that she's a woman or her race, it's her policies. that is absolutely case. it's not somebody

host: jay powell be testifying before the senate banking committee along with treasury secretary janet yellen on some of that spending, the oversight of some of that spending. the headline from cnbc says powell to tell senate omicron variant poses downside risk to the economy and complicates the inflation picture. what is the role of the fed chair in terms of these hearings before congress, aside from talking to congress, and what is their role in getting the public message out of reassurance or calm or confidence to the public. host: it is very important, and he has to do it in a way that is factual. he cannot sugarcoat it to say everything is fine. his job will be to say here is what we face, we have this new macron variant -- we have this new omicron variant and that creates further uncertainty. our role is to say we will try to not monetary policy that supports efforts to bring the economy back online fully without creating bad side effects. that may not sound like a lot. that is the job. there is no way you can predict the future. there is no way you can assure outcomes, but you j

host: jay powell be testifying before the senate banking committee along with treasury secretary janet some of that spending, the oversight of some of that spending. the headline from cnbc says powell to tell senate omicron variant poses downside risk to the economy and complicates the inflation picture. what is the role of the fed chair in terms of these hearings before congress, aside from talking to congress, and what is their role in getting the public message out of reassurance or calm or confidence to the public. host: it is very important, and he has to do it in a way that is factual. he cannot sugarcoat it to say everything is fine. his job will be to say here is what we face, we have this new macron variant -- we have this new omicron variant and that creates further uncertainty. our role is to say we will try to not monetary policy that supports efforts to bring the economy back online fully without creating bad side effects. that may not sound like a lot. that is the job. there is no way you can predict the future. there is no way you can assure outcomes, but you judge what

joining me now is tennessee senator, senate foreign relations committee and banking committee member,hearing? >> i serve on the senate banking committee. i think we're to see details questioned of a controversial candidate. this reflects the massive bait and switch that america undertook back in 2020. biden campaigned as a moderate. he put forward some of the most radical nominees we've ever seen. we're talking about a marxist academic, that wants to put bank accounts in charge of the federal government. she'll be in charge of an army of 2400 bank examiners around with a billion dollar war chest. you think about what the biden administration talked about in terms of spying on bank accounts, giving them the opportunity to come in and execute any company they want because they're in a disapproved category. she is talking about oil and gas or coal. it's not the government's role to step in, to set the private sector aside for the government to allocate capital which is what she's talking about. she wants to be able to use the government and a social engineering tool to dictate where fina

senate banking committee sherrod brown says there is no doubt the senate will confirm either candidateropean central bank vice president expect inflation to slow down, but says it won't do so as quickly as expected. a few months ago, he was also asked about interest rate hikes. >> we will see what happens over the next months, but my personal view is that it is going to be quite unlikely to have a lift off of rates in 2022. ritika: meanwhile, the ecb warned that market exuberance could pose a risk to euro area stability. in the u.k., inflation climbed faster than expected to the highest level in a decade, putting pressure on the bank of england to raise interest rates. consumer prices rose 2.4% in october, but higher costs of fuel, restaurants, and hotels led the jump in prices. china speeding up plans to replace american and foreign technology. bloomberg has learned a secret government-backed organization is certifying local supplies. nearly 500 makers of equipment and software have been approved. the chief financial officer of pfizer is retiring. pfizer says it has launched an extern

he and janet yellen will be testifying in front of the senate banking committee. we know what they will say in their opening statements. the chairman will talk about inflationary outlook. he also talks about the downside risk. that will be important for his language especially ahead of the jobs report on friday. also coming up in terms of economic data a conference form dashboard consumer confidence. we saw a slight uptake in october that we expect to see come down in november. inflation risks, virus concerns, how much are they weighing? we will see if that trend holds. finally at 1:00 p.m. eastern time the vice chairman of the federal reserve will be speaking. does clear that echo when he said days ago or has that thesis changed with about two weeks to go? jonathan: the vice chairman unleashed in the final moments of his term. unleashed, a little bit later on. for our audience on radio tuning in, everyone talking about the interview with the modernity ceo. i will bring in the quote. there is no world where you think this is the same level he is talking about vacc

it's a great show, by the way. >> thank you >> bye >> we are going to take you live to the senate banking committeeright after this break don't go anywhere. you are first generation college student. (crowd cheering) stand up if you're a mother. if you are actively deployed, a veteran, or you're in a military family, please stand. the world in which we live equally distributes talent, but it doesn't equally distribute opportunity, and paths are not always the same. - i'm so proud of you dad. - [man] i will tell you this, southern new hampshire university can change the whole trajectory of your life. (uplifting music) use a single hr software? nope. we use 11. eleven. why do an expense report from your phone when you can do it from a machine that jams? i just emailed my wife's social security number to the entire company instead of hr, so... please come back. how hard is your business software working for you? with paycom, employees enter and manage their own hr data in one easy-to-use software. visit paycom.com for a free demo. hon? first off, we love each other... wondering what actually goes into

the senate banking committee examined his agency semi annual report to congress. this is one hour and 45 minutes. >> [inaudible conversations] [inaudible conversations] [inaudible conversations] [inaudible conversations] [inaudible conversations] [inaudible conversations] >> the senate committee on banking, housing and urban affairs will come to order. today we are pursuing as we have in the past the hybrid format. our witness is in person but members of the option to view either in person or virtually. as you m know, many witnesses, d in many c members will be her mt of them at check in remote and will be here. posted i think in person. a couple reminders when you start speaking to be a slight delay before displayed onde the screen try think every senator knows how this works. the speaking order will be as usual piscine geordie and members of check in by now before the gavel came down person or virtually and by seniority of members arriving later. alternating between democrats and republicans. our welcome director recently confirmed director. you're stepping into

interesting comment from sharad brown, chair of the sink it -- from sharad brown, chair of the senate banking committee, said he was sure they would confirm either of them. it is the vote counting of it all going into the weekend that i think is more important than perhaps anything. tom: it is about as exciting as the auction market. we will skip that today. the 10 year inflation-adjusted yield at -1.13%. with all of fed speakers today, we've got to look for something on yields in their guesstimate forward. lisa: really? i am going to talk about the option later today because you gave me an opening. there's an auction of twenty-year notes at 1:00 p.m. to me, the question is very much who is going to be nominated and confirmed as the next fed chair, but also, what they will shift toward. is it going to be a more dovish or more hawkish reality at a time when you see inflationary pressures, and this really does bleed into the twenty-year auction? how high can yields go? tom: i'm sorry, i am looking at the deepest thing in the system, which is the dollar. let me start with you. dollar up, dollar stronger.

jay powell and janet yellen attend a senate banking committee hearing on the pandemic response.lso expected to defend his renomination, manus. manus: on wednesday, they start trading on the nasdaq following a facebook rebrand so that is going to come through on wednesday and thursday. it's the beginning of two days of meetings for opec-plus and on friday, we will get the jobs report, expected to be more than 500,000. we will keep a close i on the participant -- close eye on the participation rate. it is demonstrable, palpable on gmm, and it has been there for a number of hours. it's about bond yields rising, oil markets in relief mode, and to that extent, look at that. the commodity board. oil up over 5%. brent up 4.25%. dani: one thing i was surprised about on the commodity board is that it is falling today. i just got back to the u.k. yesterday and it is so cold here. we are facing an energy crisis in europe. previous to this, if that exacerbates things. manus: it is a balmy 32, 35. it is a gorgeous day at the beach. scorsese has been here this morning and he filled my new mar

powerless testifying in front of the senate banking committee today.ound after the big friday selloff which was the worst of the year we have seen. back to you, we remind everybody you can catch me on american's dream home at 8:00 pm eastern time. carley: what cities? >> we are going back to the capital market. carley: doctors across the country who refuse to get vaccinated are sitting at home without a job as the highly contagious variance of covid 19 could be in the us. we are talking to one of them coming up. todd: the white house rewriting history is president biden implements the same policies he once criticized donald trump for. >> what the president was critical of was the way the former president put out a xenophobic tweet, the president has not been critical of travel restrictions. small businesses like yours make gift-giving possible. now, comcast business has an exclusive gift for you. introducing the gift of savings sale. for a limited time, ask how to get a great deal for your business. and get up to a $500 prepaid card with select bundles

testifying before the senate -- tomorrow jay powell and janet yellen testifying before the senate banking committeermany coming in at 6% higher than estimated. central bankers in europe are talking about the transitory effectiveness. coming up on "balance of power," jason furman will be joining david westin, and the pfizer ceo as well. do not miss that as well. guy: will go over to bloomberg radio and carry on the conversation around omicron and its impact. this is bloomberg. ♪ >> from the world of politics to the world of business, this is "balance of power" with david westin. david: from bloomberg's world headquarters in new york to our tv and radio audiences worldwide, welcome to "balance of power." news of the human variant sent market -- of the omicron variant sent markets starting on friday. as we wait president biden to address the issue, we turn to our washington correspondent, joe mathieu. you can see the podium. we are waiting for the president. i may have to interrupt you. what we expect to hear from president biden? joe: we have to start by knowledge and how little we know. we expected

>> we start off with breaking news out of the fed as chair powell gets ready to face the senate banking committee tomorrow steve? >> melissa, thanks jay powell a hawk s testimony he's set to deliver to the senate tomorrow. with the two-year yield falling it looks like the market maybe hears something different. making the first comment of any fed official about the new variant. powell says the recent raise in covid cases and the omicron variant pose down side risks and also increases uncertainty about inflation. then he goes onto say this and i quote, greater concerns about the virus could reduce people's willingness to work in person, which would slow progress in the market and intensify supply chain problems and then he had these other comments on inflation where he said it's welling well above our 2% longer run goal it will linger well into next year and that labor slack is diminishing while wages are rising at a brisk pace all that said he did go onto say he expects inflation to move down significantly over the next year and sees the job market continuing to improve. this is a chair that sudd

the ranking member of the senate banking committee says omarova has radical ideas against free enterpriseis taking steps to constrict the oil production in the u.s. the president is now asking opec to step up and fill the gaps. so democrats now questioning that strategy. listen. >> that we got to take aggressive action to tap the strategic petroleum reserve. we need to tell opec we need supply. we give the saudis plenty of money and arms. we need to look for other energy sources and which ought to be investing heavily in renewable energy and electric vehicles so we reduce the demand. reporter: now republicans are saying that just reverse the policies that can sell the keystone pipeline and allow new leases for drilling on federal land. picking a progressive nominee could spill over into the next big debate about the fed chairman. no announcement yet if the president will reappoint federal reserve chairman jerome powell. former obama economic advisor jason furman maybe indicated where the inflation blame game is going. listen to this. >> i think inflation is too high. i think inflation is

. >>> meanwhile a senate banking committee hearing turned tense yesterday as democrats and republicanse top bank regulator. earlier this month the president nominated salei saule omarova. she has testified numerous times as an expert witness on financial regulation. she also worked as a policy adviser during george w. bush's administration, but yesterday republican senator john kennedy of louisiana appears to suggest she may have communist sympathies because of her upbringing. take a look. >> you used to be a member of a group called the young communists, didn't you? >> senator, are you referring to my membership in the youth communist organization when i was growing up in the soviet union? >> i want to ask you that question. >> senator, i was born and group up in the soviet union. >> yes, ma'am, were you a member of that -- >> every member in that country was a member of the communist youth organization. >> so you were a member? >> that was a part of normal progress in school. >> i don't mean any disrespect. i don't know whether to call you professor or comrade. >> oh, my goodness. >>

david: jerome powell testified along janet yellen in front of the senate banking committee.re he had back at the biden administration that inflation is transitory. hillary vaughn has a story. david: the line that inflation today is temporary and is transitory is getting trashed today. inflation right now is supposed to check off all the boxes that the fed needs to see in order to hike interest rates in response. powell calls it temporary is it really the best way to describe the crazy high prices americans are seeing every day and could still see until summer. >> is a good time to retire that and explain more clearly. we indicated that inflation pressures will linger into next year. you do stand by that? >> that's our expectation but what is happened the date has been pushed out repeatedly as supply-side problems have not really improved. >> chairman powell painted a picture of the recovery with the omicron covid variant spreading, he thanked people won't want to show up to work because of it. >> the emergent of the variant post downside risk to the employment and economic a

you are watching the senate banking committee live on c-span3.

the ranking member the senate banking committee republican senator pat toomey says he'll support theation, however. the president hopes to announce releasing oil from the strategic oil reserve to bring gas prices down. the announcement is contingent on agreements from other nations. the u.s. asked china, india and south korea to join a coordinated effort to release reserves of crude oil. the white house hopes to circumvent opec's resistance to ramp up oil production to meet rising demand. >> the american consumer never likes to pay more at the pump, but we are focused on doing everything that we can to make sure that american consumers are not bearing the short end of the stick during these periods. that's what the president will be talking when tomorrow, taking actions where we can and make sure we can provide relief to american consumers and also make sure when the price of oil comes down that american consumers see that benefit at the price at the pump. that's not what's been happening over the last several weeks and that is a concern we have here. >>> now, curious minds want to k

to provide her input the administration is also been working closely with the head of the senate banking committeed brown, who today signals support for both powell and brainard republicans, they also appear to be on board. senator mitt romney tweeted that he will vote to confirm powell he wrote, i believe he's a person of capability and integrity. while i disagree with some fed policies, powell's recent comments give me hope that the fed is way to address the rising inflation that we're experiencing so guys, at this stage, it does look like both nominees should have enough votes to easily get confirmed. back other to you. >> wow something getting easily done in washington i will wait with baited breath, thank you. >>> meantime, we talked about how the fed and rates have affected the valuations of stocks and growth stocks in particular one of thebig movers reports earnings just a few hours. that is zoom that stock had a bit of a rough 2021 down 30% year to date and the street is anxious. citi noting that sentiment is, quote, quite negative ahead of earnings thanks in part to zoom fatigue. and conc

employment and economic activity adding more uncertainty, janet yellen testifying for the senate banking committee at 10:00 am. lots to discuss. "varney and company" is about to begin. ♪♪ lauren: the latest read a case shiller it, jumping one.one% on an annual basis, a bit slower than expected in september. let's check futures once again because we had a respite after a major selling we saw friday. the dow gained 250 points a far cry from the 905, the s&p and the nasdaq were higher. all 3 major averages down between a 12:45% if you look at the tech side and 0.8% if you are looking at the blue chip average. ed, good to see you. oma cron is a worry for investors but there is so much we don't know so what changed from yesterday? >> it is unknown unknown. a lot of questions whether this is going to be as bad as delta was and if that is the case we can deal with that, there is speculation it might be worse, the vaccines and therapeutics might not work but nobody knows anything for sure. what we know for sure is we dealt with the alpha, beta, and delta versions of the virus extremely well. we saw the dr

the treasury secretary janet yellen will testify before the senate banking committee this morning, john. we'll get more information from the fed chief and the treasury secretary about where they think things stand and what has been otherwise a strong u.s. economy. they'll talk inflation and omicron this morning. >> big down red arrows after the big green arrows up yesterday, we'll have a tough two weeks in the markets here. >> get used to it. >> as they try to adjust to what's going on. thank you so much. gas prices had leveled off in recent weeks. omicron could cause them to drop even further. pete muntean live in alexandria, virginia, with the latest on this. good morning, pete. >> reporter: good morning, john. the whole notion here that omicron fears according to industry experts could go up and gas prices could go down. look at the latest numbers from aaa. the price of gas has actually gone down a little bit from where we were a week ago. the national average, now $3.39. and aaa says because as the cripp omicron fears could go up, we could see five to six cents of relief. what is dr

liz: president biden controller of the currency facing a senate banking committee today, if confirmed, saule omarova would play a big part in the regulation of the growing crypto market. is that good or bad for digital currency? charlie gasparino is on the story next and the real story behind the shoe that's a favorite of celebs in silicon valley titans. how did founders tim brown and joey go from designing an all- sustainable shoe on joey 's mother-in-law's kitchen table to a nearly $3 billion market cap player in the footwear industry? you got to hear everyone talks to liz podcast, the stock ipo'd last week, download it, listen to your commute or free moment that you have it's a fascinating story on youred politico cast wherever you get them, spotify, apple, google, fox news podcast, dow is down 59 closing bell is ringing in 19 minute, don't go away, charlie breaks it next. [energetic music throughout] what's strong with me? i know when i'm ready for a rest day. ...so i can be ready for anything... tomorrow. find out what's strong with you with fitbit sense and daily readiness. toda

speaking in front of the senate banking committee, the chairman said inflation will likely continue into>> generally the high prices we're seeing are the supply and demand balances that have gone into the economy. it has been spreading broadly throughout the last few months, and i think the risks of higher inflation has increased. >> powell was joined by janet yellen who offered her own warnings to congress and the repercussions of failing to raise the debt limit which right now needs to be raised by december 15. joining me now is msnbc news stephanie ruhle and leigh ann caldwell. leigh ann, tell us what was said in congress. >> reporter: hi, katy. janet yellen had a dire warning for the congress as they need to raise the debt ceiling by december 15. >> including all necessary funding to complete authorized indian water rights. >> if we do not, we will oviscerate our current recovery. in a matter of days, the majority of americans would suffer financial pain as paychecks would not reach their bank accounts and that would make a deep recession. >> reporter: a deep recession was heard all

brown is a very important person, chairs the senate banking committee and nancy pelosi, who doesn't havet behind powell as well. that's an indicator of where the democratic party s.divided over him buff overwhelmingly beeeoc the republican pat toomey from pennsylvania, also supports the nomination so i expect this to be confirmed despite the complaints from the left. >> another reason biden could take a different course is all the heat over inflation at the moment. the president doesn't have many powers to do anything about inflation. the president could have replaced powell just to make clear to the people out there in the country who are suffering the higher prices at the pump, the higher prices at the grocery store, i'm going try anything, but this is essentially the president saying no, no, i'm not going to take it out on powell. what will he do? >> this is him showing that he has faith in powell's ability to kind of put a check on inflation as that's really the top issue right now for this white house. they are trying to confront. you know, last week biden asked the fdc to look into

treasury secretary janet yellen and federal reserve chair jerome powell testify before the senate banking committeetheir agency's use of covid-19 really funds. they returned to capitol hill at 10:00 a.m. eastern that was stream live on c-span.org and all the c-span mobile a. wednesday at 10:00 a.m. eastern on c-span three the u.s. supreme court hears oral arguments in a case on the constitutionality of the mississippi law bannin most abortions after 15 weeks of pregnancy. watch on the c-span networks or watch a full coverage on c-span now, our new mobile video app. head over to see spent at scheduling information or to stream video live and on-demand anytime. c-span, your unfiltered view of government. announcer: sunday december 5 on in-depth, a history and an conservative commentator joins us live to talk about war, politics, and citizenship in the united states. his book titles include the father of us all, the case or trump, and at the dying citizens, the idea of american citizenship and ideals associated with it are disappearing. join us with your facebook comments, text messages, and tweets on

. >>> today on capitol hill, the senate banking committee held a confirmation hearing for a relativelyy position. it's part of the treasury department, regulates assets held by 1,000 banks worth almost $15 trillion. joe biden's nominee for this role, cornell professor sully amarova, who served in george w. bush's treasury department, has been the subject of intense resistance from the banking interests who would be regulating. she's also been subject of one of the all-time dumbest, most craven fox news propaganda wars i have seen in a while, which is really saying something. let me give you a taste of what that sounded like on the hill today. >> you used to be a member of a group called the young communists. didn't you? >> senator, are you referring to my membership in the youth communist organization while i was growing up in the soviet union? >> i just wanted to ask you that question. >> well, senator, i -- >> there was a group called young communists, and you were a member. is that right? >> i am not exactly sure which group you're referring to. >> what's going on there? well, repub

. >> so dom, fed chairman jerome powell is expected to testify tomorrow in front of the senate banking committee. what do investors want to hear from him? >> i think the biggest key for investors right now is about whether or not the fed is going to maintain its current trajectory with regard to the removal of some of that emergency money, the stimulus that was put in place, especially during the pandemic. people are going to call it the taper that the fed's going to slowly reduce its bond buying program. remember, every time the fed buys treasury bonds or mortgage bonds, it takes bonds out of circulation and puts more cash in the system. that's meant to help promote a little bit more economic activity. it can also very much so add to riing prices, not just for stocks and real estate but for things like food and fuel as well. there's a very, very conundrum for the fed right now about whether or not there's a balance to be struck when it comes to monetary policy. the more stimulus you put in, maybe it's better for the economy, but it does cause in many ways higher prices for goods and services. >

a full sent at vote to confirm her, there were questions about the initial hurdle of the senate banking committeech has a 50/50 makeup, and one democrat vocally supported powell there were questions whether it would have been an initial hurdle too high to surpass by giving her this vice chair role, it is a number two role, it is incredibly powerful, they could essentially present a two-for that gave an olive branch to both sides of the aisle. >> very interesting. maybe it is setting her up for future positions of influence at the treasury and/or obviously the fed chair itself peter, does any of it make you itch a little bit about inflation, what kayla was describing behind the scenes >> well, it is certainly here, inflation. it is just a question of how does the federal reserve confront it. right now the strategy is, of course, to taper first and then only after the taper is done do they want to raise interest rates. but throughout this taper they're still buying assets. they're still increasing the size of their balance sheets, so it is not really a serious attempt to deal with inflation now, wh

this morning before the senate banking committee.his covid variant, thinking if that's the case, that could also put additional pressure on the supply chain and, in turn, inflation. that has the markets spooked dow futures down s&p off by 46. the nasdaq down by close to 100 points and treasury yields have come under pressure. if you are watching the ten year, you are seeing it is sitting at 1.427% a. far cry from where it was a year-and-a-half ago. yesterday, it was above 1.45%. the stocks have been many of those travel stocks, things like the airlines, american airlines, united those are the ones a little more affected by international travel those are the ones each by more than 2.3%. also what we've referred to as the stay-at-home shocks. you will see right now zoom is up by 1.8% the gains are modest again, you look at the discrimination between stocks stay at home versus the ones seen as reopening plays. andrew >> thanks, becky >>> meantime, as we mentioned a few minutes ago, when we were talking to senator pat toomey. we are like

the decision is imminent according to the head of the senate banking committee and president biden today said, we will have it within the next four days, and the white house team says it could drag into next week, but we are finally getting there. as you point out, these are established fed officials. powell has been there for a while. it is doubtful that it has that much near-term consequence. wall street considers lyle more dovish than powell. if you read their speeches and watch what they say carefully, there is probably not that much difference. shery: will that make up for the fact you don't necessarily want to change the pilot when you are attempting a tricky landing? juliette: that 6 -- steve: that is exactly right. the next year is going to be pretty tricky. you're going to have the end of tapering, tapering bond purchases, it will be finished by the end of the year. you can have rate hikes in 2022 or 2023, the fact that employment, we are nearing full employment. having a soft landing for the economy as you are raising interest rates, sometimes that works out, sometimes it doesn

also treasury secretary janet yellen and the federal reserve chair testified before the senate banking committee on their agencies' use of cuba 19 relief funds. -- covid-19 relief funds. that will also stream live on c-

however, powell is likely to get republican support the ranking member of the senate banking committeend to stabilize financial markets during the pandemic and worked constr constructively with congress on fiscal policy and looks forward to confirming him. the senate opened to brainard as vice chair despite her approach to bank regulation the announcement leave three vac kis including the vice chair of supervision position and the white house would announce those nominations starting early next month but for now, leslie, we are expecting to hear from both powell and brainard during the press conference this afternoon. back over to you. >> we will be looking forward to that as well as the news to come next month thank you. >>> also want to get to our senior economic reporter steve liesman with some more reaction to today's news. steve? >> yeah. and some market reaction a hawkish trade rifling through bond and currency markets as stocks rally with the announcement that jay powell will get that second term. may probabilities for rate hike up near 50%. we haven't really been there before t

the senate banking committee examined his agency semi annual report to congress. this is one hour and 45 minutes. >> [inaudible conversations] [inaudible conversations] [inaudible conversations]

then just a few weeks ago when you testified before the senate banking committee, you stated that there, quote, a great deal, end quote, of clarity in the law. you implied that many digital asset exchanges are unregistered exchanges and threatened one by name. which is it? does the s.e.c. want more legislative authority or is it about to unleash a regulatory tsunami under existing laws? to be frank, i have strong concerns about how you'll regulate in the digital asset space and whether the law is on your side. i believe it is time for congress to step up and provide clear guidelines that will not allow an s.e.c. chair to change the law by interview or statement or statement on the commission's website. that's why earlier today i introduced the clarity for tokens act for 2021. we need to nurture innovation and technology in this country, not send it overseas. this bill, which borrows from the great work, helps bring certainty to projects that we badly need regulatory clarity to launch. two other points before the time runs out. first, much of your broader agenda appears to be -- well, it

obviously he has big sway in his position in the senate banking committee.e been listening to him quite a bit and he made a few points she is really looking at the fed as an institution that can address climate change, when it can't. it doesn't have the tools to address climate change. that is a ridiculous notion. brain advocated for inclusiveness aspect to the employment rate being included in the fed's mandate. it is not that we don't need to be adamant and diligent about getting african-american and latin unemployment rates down. it is just a tool, the fed does not have the proper tools to do this. these are more in the congressional purview and i think there are some concerns among jon tester of montana, sinema, manchin, among moderate democrats brainard might not be necessarily the right person, to be as you said powell's second in command. david: that is very interesting. some people, "the wall street journal" had an editorial about what happened at the fed and suggested that in many ways it may not be true that powell is more independent than brainard

. >> deputy treasury secretary testified on the department's sanctions policy before the senate banking committee. the hearing is an hour and 45 minutes. >> this hearing is in a hybrid format. members have the option to appear both in person or virtually. welcome. if there is a technology issue we'll move on to the next person. our speaking order will be as usual by seniority of the members who have checked in alternating democrat and republican. today we welcome deputy secretary to this committee for an update on international policy issues, sanctions policies, an area where we've done important bipartisan work on this committee. i thank senator toomey and especially chair when i was ranking up until this year. we were able to make important progress holding countries like russia and north korea accountable. senator toomey and i have worked together to pass tough new fentanyl sanctions to help stem the flow of illegal opioids from china and mexico that have taken such a toll. another heart breaking story on public radio today about what's happened to far too many families in this country. i am c