we'll talk to former fed chair alan greenspan later on this morning.est day of the month for the dow, banks up 2.5% disney clinging to 130 and the dow industrials trying to avoid their first week down in three weeks. we're back in a minute ♪ feel that? that's the beat of global markets, the rhythm of the world. but to us, it's the pace of tomorrow. with ingenuity, technologies, and markets expertise we create the possible. and when you do that, you don't chase the pace of tomorrow. you set it. nasdaq. rewrite tomorrow. a business owner always goes beyond what people expect. that's why we built the nation's largest gig-speed network along with complete reliability. then went beyond. beyond clumsy dials-in's and pins. to one-touch conference calls. beyond traditional tv. to tv on any device. beyond low-res surveillance video. to crystal clear hd video monitoring from anywhere. gig-fueled apps that exceed expectations. comcast business. beyond fast. [horn honks] man this is what i feel like when i wear regular shoes, cramped and uncomfortable. we can arra

alan greenspan would be the master of that. i think he would take pride in it. jay: proudly, yeah.: you don't like fed speak, so how do you get out of speaking fed-speak when you have all those fed people around you? [laughter] jay: what i'm trying to do is explain what we are doing and why we are doing it in a way that is comprehensible to the interested public. that's what i try to do. when people start using these technical words that don't mean anything to them, it is just irritating. so i try hard not to use it, or lapse into the latin, for that matter. david: speaking of latin, you have a skill you have perfected since college. you can take a word and pronounce it backwards. so, take rubenstein. you can say that backwards. is that right? jay: yes, it is something i was born with. i can see your name spelled forward and backward in my head. i have been a what to do that since i could read. david: is there any advantage in life from having this skill, or? [laughter] jay: it has been surprisingly lucrative at times. david: really? what did you think when you first on the fed? yo

mallon was quick figure like alan greenspan today or ben bernanke, though his treasury secretary get it was said of mellon that three presidents served under him c-span: how does that relate to the mellon name that we know now, that mellon bank? >> guest: who was mellon? mellon was a very wealthy man. he made much of his money. he created an empire in pittsburgh of steel, aluminum, mellon was also what my call a venture capitalist. he would give a man money if a man had a good idea, see what happened, maybe in and selfies share when men succeeded but sometimes he died in. sometimes he didn't but he loved new ideas. he cratered ale institute to generate patents. very production oriented, , not just what we say a rent seeker. not to some about what other people had and held onto it like a monopoly. so mellon came to this job, the job of treasury secretary, with a wealth of experience from the private sector and a few convictions, and his best partner among the presidents, i believe david kendall dean, the malabar cover would say this,, too, was coolidge who understood mellon. he knew h

so did alan greenspan. we lost a little of that. i think it is coming back now, so i think it is perfectly consistent. what was the question you asked me? i just went off on a rant. >> i asked you if president trump was aware of a dual mandate. dir. kudlow: yeah. and president trump is key on a low inflation rate. i hear him talk about that all the time. present inflation rate is disinflating, and that is part of the reason why he think the target rate could be lower. it is a fairly good model he has, so with respect -- and the answer to janet young, he gets it. he is very well-informed. go into the oval office. let me tell you. i'm in there all day long in various informal meetings or formal meetings, and i can't begin to tell you how smart he is. he knows stuff, as a businessman, he knows a lot. you have to be sharp, have to know your stuff. on this and many other things. trust me. he is a very sharp questioner. >> since you brought that up, i have a very long question from somebody who says you had an interview with stephen moore

wrong move let's bring in now chris whalen, chairman of whalen global advisors you remember old alan greenspan >> irrationale, exuberance remember that? i think it was 1996. >> yes >> are we getting irrationally exuberant on the financial stocks right now heading into earnings season, which begins next week? >> no. we're bouncing back from the december massacre. it would be hard not to have an up quarter after that mess >> i'm told by everybody, right, that higher interest rates increase the net interest margin, the nim, and they're good for banks if that is the case, isn't the inverse true >> no. the street learned or they remembered high school economics when it comes to interest rates and banks. this time around we have some structural factors, the normalization after what the fed did to keep rates low and protect the banks. their cost of funds is going up regardless of what the ten-year note does. this is confusing to people because everyone thinks, oh, rates are going down mortgage rates are going down. we may see a bump in terms of lending volumes, by the way. at the same time the cost o

the hawkish tendencies but let's remember when it came time for volker to retire he replaced by alan greenspan i think the question today is whether trump plans to break that mold and make sure that everybody who is appointed to the federal reserve be a party loyalist and that we end up in a situation very similar to supreme court nominations. >> so, steve, with all this swirling about and jim also alluded to this which is also is the bond market worried that it means you get inflation picking up again it is the quote/unquote solution people are looking for putting that aside, do market participants worry about this harming the fed and its ability to do its job well >> i heard jim and what his comments were. we are starting to see expectations rising because look at the reaction that you see in gold that will be the first and i know that we haven't had years where gold should be the inflation canary in the colema mine and it hasn't been and the market is starting to pay attention. having said that, i disagree, i disagree with greg and the notion that i do believe that every president, i think

alan greenspan's irrational exuberance, do you remember that, when he uttered that line during the dot com bubble? to the word recession following the burst of both the dot com and the housing bubble, and now one investment bank is warning using the dreaded e word when it comes to the markets. we have the r word recession. we have euphoria, right? that's the new word. rbc capital markets head of u.s. equity is warning that there may be too much euphoria around the s&p 500 right now. so here it is year to date. major average, while down today, just hit a 2019 high on friday and its second highest close of the year yesterday. should you the investor be fearing the dreaded e word or is there a work around? some type of precaution you can take? we go to our traders on the floor show right now to get their perspective and teddy weisberg, give me your idea when it comes to the e word. >> i think the e word is just another negative word to get investors a little unsettled. i don't buy into it for one moment. i think the footings for the market are still quite positive. you know, we've been to

. >> i asked alan greenspan what his advice would be to jay powell when donald trump calls, and greenspan said, hang up. that's because the fed is supposed to be independent. that's what -- we need an ultimate arbiter of the value of money and interest rates to avoid politics. that's what -- that's the trick the fed is supposed to play off. >> if you want to stay the world's reserve currency. >> and you need some scapegoats if we have a recession. >> jay powell's already been designated. >> how is that going to work, politically, to say, this is the fallout to the guy that i appointed. >> ramesh, we banned logic a long time ago. stay with us. >>> joe biden has something to say. >> whether they're women, men, young, old, it's the way i've always been. it's the way i've tried to show i care about them and i'm listening. >> we've got more of his message ahead. >>> plus, what's next for the former vp, as clearly, this video lets you know he's preparing to run for president. >>> and house democrats ramp up the pressure on the attorney general. they want the mueller report in full. and they're

not a great figure like alan greenspan today or ben bernanke the treasury secretary. three presidents served under him. c-span: how does that relate to the mellon name we know now the mellon bank? >> guest: melon was a very wealthy man who made much of his money with an empire in pittsburgh of steel aluminum. he developed what we might call a venture capitalists. give a man money and if the man had a good idea to see what happens. maybe he would sell his share. sometimes he butted in and sometimes he didn't. he created a whole institute to generate patents very production oriented. not just someone who bought that other other people hadn't haven't held onto it like monopoly. he was the creator of wealth. now his job of secretary with a wealth of experience from the private sector with few conditions and the best partner among the president the mellon biographer would say if you understood melon. it wasn't all about calvin. c-span: he died in his early 60s right after he got out of the presidency. what happened? what was his health light? >> a lot of them did. we are b

in 1994, president clinton nominated me to serve as a governor of the federal reserve under alan greenspan. i later returned to berkeley to teach, but was tapped in 2004 for a different role, to serve as president of the federal reserve bank of san francisco. one of the 12 regional reserve banks that are part of the federal reserve system. that assignment placed me right in the midst housing boom and bust, that presich tated the worst financial crisis in the united states since the great depression. i worked with chair bernanke and other senior fed leaders to contain the crisis and craft monetary policies that would promote economic recovery. in 2010, i moved from san francisco to washington to serve as vice chair of the federal reserves board of governors, and in that capacity, i continued to work with chair bernanke on monetary policy, and on crafting financial regulations designed to prevent a future financial catastrophe. as president dejoya noted, president obama nominated me in 2014 to serve as chair, succeeding ben bernanke, where i continued this work. this evening, i'd like to sha

in an age he told a tv interviewer and we want to preserve that advantage for two years before alan greenspan or robert rubin had sought to maintain that international advantage. the idea of american banks as major players in the world economy dominated financial policymakers agendas in every administration from reagan to trump. admit february 2017 month after trump's inaugural and longtime observers and bank politics dismiss hensarling and trump's prospects for eliminating the dodd-frank act. those observers use terms like slop to describe the substantial efforts than any presidents treasury secretary would face in seeking a large overhaul of bank regulation. dodd-frank's tentacles will won't be easily cut a writer for an insurance oriented publication noted that month. the supermarket bank continues to reside at the center for presidential project more than five decades old and yet if anyone less emerges from supermarket bankers consent in american politics was that no outcome was certain or navigable patronization of american banking and the markets that they made remained a matter of grin

tell me alan greenspan didn't set the scenes for the financial crisis?not saying, that is criticism, just his own personal financial dealings, he hasn't been a great economist, his calls have been wrong. >> larry summers when he was treasury secretary pushed through something that was known as glass-steagall, allowed big banks to merge with security firms. that is one reason we had a financial crisis. connell: how did that one work out? i get you. >> everybody makes mistakes. steve is a smart guy. he is a supply-sider and i think the supply side community, i think you should talk to laffer about this today. connell: he is on today. >> they are planning to rally behind him because they think that mcconnell is wishy-washy. connell: fair. we'll talk more about it later. thank you, charlie. have to run to the new tax plan coming out of one top democrat in the senate. maybe it signals what the democrat was do if they win the white house. that's why we're talking about it next. next hour, malware and mar-a-lago, the close call has a lot of people talking, hack

alan greenspan started the idea of a unanimous fed. what is wrong with dissent?an make the argument that there is nothing wrong with dissent at the fed. ben bernanke also extolled the virtue of consensusbuilding within the fed. sent underlittle dis his leadership. but the appointments or potential apartment of stephen moore to the fed would create real tension in those deliberations, and some argue that is worth having that discussion on whether or not rates are too high. tom: let me bring up a chart here -- i am watching a tornado on the east coast weather watch. team coverage with "bloomberg surveillance." but stephen gallo, here is the dollar, range bound back for years -- four years on the bloomberg dollar index. how does mr. trump interpret that? it is not like it is a runaway strong dollar. stephen: it is not a runaway strong dollar. you have a wider fiscal deficit in the u.s., although i think this is, if anything, a longer-term concern, the fact that the u.s. has a widening fiscal deficit. if anything, it is short-term, dollar supportive, because the othe

alan greenspan authored a remarkable piece where he points out the united states was born creative. can think of no section of the american economy more in need of creative construction. greenspan points out that america's problems are problems of poor policy making rather than technology or entrepreneurial drive. they will continue to hold out the flag, holding out a healthy prospect of more growth and populist rage. so tomorrow i'm calling on the community, businesses, american labor to step up and step out of its mission, and push the congress and administration to act aggressively. thank you. ♪ >>> joining john bartis, adam kominsky, laura, peter hayes, president and ceo of the health care alliance of maine. >> so welcome, all. it's great to have you. thanks for being here. i also want to say thank you to gary and mary west. it's quite gracious of them to put this together, and we're grateful to be here and have this conversation today. adam, let me start with you. to have over a million and a half employees, you've got millions of beneficiaries. what a complex issue. how are yo

last october alan greenspan offered a remarkable piece in which he points out that america and its economyas born dynamic from the beginning. to its earliest embrace of destruction, the destabilizing force described in 1942, creative destruction reallocate societies resources from less productive to more productive once. i can think of no segment more in need of this than the american healthcare financial ecosystem. greenspan points out america's problems are problems of poor policymaking rather than incentives and technology or entrepreneurial drive. he goes on to say unless the united states changes course its economy will continue to hold out the unhappy prospect of the self reinforcing cycle of low growth and populist rage. today i am calling on the community, businesses, american labor step up and step out of this mission and push congress and the administration to act aggressively. we can no longer afford giving a blank check to our private healthcare delivery system and shame on us if we do. thank you. >>> welcome all it is great to have you and thank you for being here and i also w

tom: allen grand -- alan greenspan would say the equity markets are a confidence builder. right now, or dynamic between the greater economy and stock market. daniel: we have survey implied growth where you can take the surveys globally and back out what is implied in terms of growth. that has been cut back over the last month. tom: why are stocks going up? happenedrtly what has as we have gone from being uber pessimistic to pricing stabilization, but we are not pricing for acceleration so we think we are on the cusp of a global acceleration in the next three to four months. the markets are not pricing that. some people are waiting for the negativity to be out-of-the-way. francine: two, three weeks ago we were talking about and of the world recession, yield curve inversions. where does that come from? i think it was a complete overreaction from the markets and central banks. the key point on the tariffs as they are level effects that have dissipated so when you look at the disruption in the u.s. in consumer durables and employment, that is coming out. even if you do not rev

guy, willie geist, that guy makes steven moore look like a combination between adam smith and alan greenspan, i mean, when you've got somebody next to you going "nine, nine, nine" on the fed, suddenly stephen moore is going, ooh, all the stuff i said about donald trump, didn't serve on it. >> he did serve on the board. massical add. . what was the point of the cigarette drag? what was the message there? i don't know what the point was. >> i don't know. all i know is it made me vote for him three times that year. that cigarette drag. >> good morning. it is friday. no, joe, i'm worried. don't talk. >>. >> denis: hold for smile. >> kenny: maybe they can play there maybe that smile will inspire the red sox to start winning. >> how are you yankees doing? as bad as us? >> they finally won yesterday but the red sox and yankees are handling in the. >> exactly. put the storm shutters up right now, mike. the season's over. so mir it didn't. >> no. plus the fact, first of all, nobody goes to see tampa bay. the fans stay away from droves and they are a model for what major league baseball teams ought to

alan greenspan even said income disparity is the greatest threat to american capitalism.t's the reform we need now more than ever? >> well, we're a start but first i'd say over the last 40 years if you look, we have -- it's amazing. we had 81,000 trade organizations that each have a lobbyist so they're constantly working to help their sand and gravel association, whoever, but i would say the greatest challenge is really skills and we have the last department of labor information showed there were 7.2 million unfilled jobs, only 6.3 million people looking and the real issue, we don't have the skills. and think about this. 70% of our kids aren't going to get a four-year degree. >> let me stop you there. bill clinton, i remember he's sludging around new hampshire talking about a new economy. and here we are in 2019, people are talking about the same thing. he was talking about retraining and skills, you're talking about it now. why haven't we done more over those 30 years, 25, 30 years? >> i think that's a fair question. you know, when i went out to colorado as a geologist i

thrilled ray dalio diagnosed the problem in this way i wish more people did over a decade ago, alan greenspanaid that inequality was a threat to democratic capitalism that's a quote but you know, i don't find the capitalist versus socialist debate very useful for anything. you look at the scandinavian countries -- >> it's not critically important? >> they're rated higher on business freedom than the united states there's huge room to move on all sorts of things, including taxes, and still call yourself and actually be a capitalist system you look at the people running around calling themselves socialists they're not really advocating the nationalization of -- >> reproduction and raising taxes. did you watch the "60 minutes," guys, last night did you stay for the -- did you stay for the next piece? "60 minutes," no idea the irony of following ray dalio with -- i'll see your dalio and i'll raise you five ken langones. ken langone came on afterwards this is ken's book, "i love capitalism!" so, for nyu medical school, he put up $100 million, and he raised another $350 million, so that it's tuitio

hypocrisy this here, i'm writing about it this week, to suggest that the fed has been independent as alan greenspanbecause we know it has not been. ashley: another one for you danielle, goldman sachs says president trump will win in 2020 on the economy. as long as something doesn't happen between now and 2020 this is something he should shout from the rooftops about. do you think he is selling it enough. >> so unusual to see a big report out of goldman sachs economics team roll out on a saturday. on the other hand we got a trump tweet on a saturday. i read the entire goldman report. there were a lot of great points there. goldman has moved its forecast when the fed is next going to be hiking interest rates until after the election. they're saying based on economic strength there is every indication that trump will succeed in 2020. my only question is, i would want to know where they're buying their crystal ball. if i could see the economy out until november of next year i take my hat off to his economics team at goldman. as things stand they made very good points about the strength of the incumbent