at least with alan greenspan bailing out everybody in sight. and there's a limit to that but the limit is much higher than that originally seemed like it was you know because in part because an unlimited central bank printing press is a great tool for what would people in the beginning the world is basically ok and in part because it's global everybody has a fee a currency printed press so all the different countries can watch each other's backs and the fact that they were able to cooperate in this you know essentially of a global long term inflation. has meant a big they will get away with marketing the should have but the cost of massive increases in debt. and there there is a limit somewhere there's a number of weeks yet. but we won't know until after the fact what that number is you know i suspect it's pretty close to where we are now but chances are that for sure. but yeah from here on out we get more and more experimental we take bigger and bigger risks and i do think the. well bailing out all the industries that are going to blow up beca

like this and be active my question is this dan looking at the history of the fed starting with alan greenspan and the so-called greenspan put and then the bernanke input and then the janet yellen put and now the jay powell put it seems like the fed has not really been doing on its supposed to be doing and that is taking away the punchbowl when things get too frothy it seems like they've actually been exacerbating this problem for several decades and now here we are in 2020 what the worst crisis and oh you know depending on how you look at it 506100 years and they they have no real ammunition left dan dan what do you think i think unlimited is plenty of ammunition and i think if. you know if they were overly easy 2 we would have seen that as they said in the dollar the dollar has been super strong against all currencies and that tells you. that policy in fact in fact has be. tighter than it should have been and i think. in terms of taking away the punchbowl they tried to do that in 2018 it led in december to a complete wipe out again. largely because the underlying pressures in the world econo

2008 speech made by ben bernanke who was then running the federal reserve he was a successor to alan greenspan and he was doing this great lecture about how they cure the crisis of 2008 because they have something that they didn't have back in 1929 they have the printing press and this began a continuation of what alan greenspan did in the 1987 crash was to print their way out of all problems and the idea was that oh we can stop printing at any time and this is all been proven to be false you can't taper a ponzi scheme furthermore they claim to be fighting deflation by all this printing and yet what they created was deflation and deflation in the sense that what we're seeing now markets are collapsing and the dollar.

a ponzi of course goes back to 1987 crash and the beginning of the federal reserve put under alan greenspan the idea that the central bank as an act of a central bank was always going to come to the rescue because ultimately this was one big enormous ponzi scheme now this past week or so we've had the death of mach's on the sea though a famous actor and his famous scene was playing chess with death in the movie the 7th seal i would like to possibly suggest that right now the policy of bailing everybody out from the central bank is similar it's like playing. chess from the movie the deer hunter where it's russian roulette essentially and eventually of course the end is the same complete obliteration mitch is this russian roulette basically gone wrong with the constant bailing out of central banks around the world as part of this planet ponzi that you've been documenting for so many years mitch you can never see her on the back you know and all that happen is enormous amount. of increased exponentially so now the federal reserve it's a panic desperation move coming in and they cut interest ra

not the banks, not alan greenspan, not the federal regulators, not congress. when that crisis hit in 2008, working families lost it all while the big banks that broke taxpayermy got a fat bailout. it was wrong. [crowd brewing] -- [crowd booing] senator warren: when the crisis came, congress asked me to had a find out how that happened. i saw my chance. we could end this corrupt system that worked great for the banks and kicked dirt on the families, so i pushed hard to get my idea for a consumer protection bureau passed into law [cheers and applause] senator warren: people told me, don't even try. the idea is to big. it would be too hard, but we built a coalition and mobilized people all across this country to push the politicians to stand with the consumers instead of the banks. the banks fought back. they were spending more than $1 million a day of lobbyist money to plug the hole in congress, but we fought harder and we won. [cheers and applause] and thenarren: president obama asked me to come to washington and set it up, so i built the agency from about two

. >> i tell you, scott i what's up this morning and a long way from alan greenspan. what he was saying but his message was at the fed we have the back of everyone in the country. that has a really strong message. but he also said, we may well be in a recession as of right now so go ahead with your analysis. >> yes, and it is a different message, bill then frankly we saw in 2007-2008 when everybody thought the banks were okay as well but also said, hey, there is no problems here. we only need to stimulate a little bit. really stimulate prime mortgage market when in reality and much bigger problem even in the prime mortgages that originally. so to me, the fact that the administration, the federal reserve, other executives on wall street have come out and said, we realize this is a big problem. we are shutting down the entire economy. this will be massive effect on business and the consumers. so we will do whatever it takes, whatever amount it takes to backstop some of these problems occurring. this shows you this time it is different in the sense of the rescue packages

voice, reached out to the business community folks like warren buffett, bob ruben and others, alan greenspan went on "60 minutes" during one crisis and started talking about where we are, what the resilience of the u.s. economy is the fed came out, did its piece and did it in size and in all cases of these prior crisis, whether it was '87, '97, 2008, you saw unified responses from the federal government, local government in orderto turn the ship around we have not seen either the leadership nor the strategy that's required to at least stem the slide. >> there are people who are going to agree with you. some may not but you have to believe, my god, we hope, that that's going to happen at some point. >> and the example is there. when i talk about 2008, i think about sunday night, i think it was march 15th -- >> hold your thought real quick. steve liesman is on the line about this move from the new york fed steve, what can you tell us? the market is trying to balance a little bit, at least a little bit on these headlines >> scott, this is a massive move by the fed coming into the markets in a v

i apologize if i am overemphasizing the importance of the treasury market alan greenspan back in the fall talked about negative rates. in one week we could be facing negative rates where we ready for negative rates? do we want negative rates. >> not according to jeff lee doesn't black. >> i think negative rates is incredibly problematic. >> forget the fact they break the balance sheet of the banks and they grind any kind of interest in lending to a halt. put that aside we know that's bod obviously. look at europe but the psychological sentiment, to joe's point, are we ready for that to announce that look there is really no economic opportunity here that's why rates are now yielding negatively. >> we are not ready, either, it seems to me for rates to be where they were even this morning. you can't break out of this funk in stocks if you have a ten-year falling this morning to 66 basis points why do you think the market recovered off of its lows? because the ten-year note yield recovered off of its lows. and that correlation doesn't appear to me to be recovering any time soon. >> that'

one hand whether 1987, '97, '98, 2001, 2008, we had those unifying moments where in the case of alan greenspan in 1987 came out and said we'll provide the liquidity you need and had an immediate response from the federal government. that's been the playbook since 1987 from that matter. you have two separate crises happening simultaneously and so you need a health care policy response and you need -- well three really, fiscal and monetary responses so to the extent that you don't have a cohesive, coherent and bipartisan strategy you create a little bit more uncertainty in the marketplace and it would suggest that maybe, you know, wall street could stumble through some of this until they get, as eamon said, all those is dotted and ts crossed. >> by the same token, michael, i don't want to harp too much on local responses going on, but those are critical at this point as well. are we relying or looking too much to a national overall umbrella response from the federal government when, in fact, they aren't the only place we need to look to get this thing solved >> well, i think your point is well t

bush administration when alan greenspan with held easing to try to get to austerity back then we ended up in a recession we had a hard time getting out of they have to respond to the economic fundamentals. >> i'm saying if they got up, even know, if the government is going to spearhead this massive effort then it wouldn't have made a difference. >> i agree >> it wouldn't have mattered how much the fed cut >> it would be the lesser of the problem and we wouldn't be looking at the fed to shoulder a burden we know they just can understand shoulder. i think that's what you're seeing you're seeing markets scream out and say help us with fiscal stimulus we need something here to get through this period of time. how can low energy prices help consumers who are no longer going out to supporting events no longer driving as much or staying at home or not able to work it just didn't have the same positive impact that it once did either given the other changes and the knock off effects into credit markets are quite significant. >> thanks. >>> let's go back to what's been happening in the oil patch

i don't know if you remember the famous statement by alan greenspan where the fed affirmed its responsibilityovide liquidity for the smooth functioning of markets readiness to serve is a source of liquidity to support the eke no, ma'am mibck and financial system. >> that doesn't sound like much given what we've seen the fed do over the last ten years. >> what i think the fed might be afraid of here is cutting into this huge decline and then it not being effective. the market has already priced in quite a bit of fed action. if you look at where we are, and i want to come back to becky's statement about us being 50 basis points from the ten year being negative i'll come back to that in a second first, let's look at the probabilities. we had a 60% probability of the fed essentially going to zero in the fed funds probability. 75%, i'm using the refinetive probabilities. so that's zero there we go right there, what is that percentage there. that's 59% right. then look at the term structure which is that every tenor is below the fed funds. this was about 15 minutes ago. i can't guarantee -- so 1.13

i have to say this alan greenspan did say the federal reserve is support with liquidity and support u.s. banks lending in 1987, wasn't like they were silenced. stuart: wait. you are still arguing at some distance with jonathan hoeing. >> microsoft. [laughter] stuart: alibaba. we have the news from china that foxcon workers are back at work. >> that's right. alibaba -- >> stuart: 40 new cases. >> they have said that they are up and full running again in delivery in terms of staff coming back to work, so, you know, this might be a way to buy into bargains. stuart: nice to hear the idea that they are back up and running. jonathan -- >> bottom line here ultimately pot to disparage the human cost here but the government response could be more damaging to the economy than the virus. i mean, what's happening to you guys in new york, broadways are being shut down, all types of businesses and restaurants being shut down, that's a real impact on people's everyday lives and markets are working it out and the fact that even china is getting back up and running demonstrate that is this is a crisis t