cheryl: if you're ben bernanke and seeing criticism about your former performances afed chairman thatg his breakfast, i don't know. dominic, joe, great to have you on the show. >> thank you. lauren: coming up we will have more on market selloff, global equities are responding and so u.s. futures, 67 looking at nasdaq, residents in florida also waking up this morning to devastating damage from hurricane michael. >> it came flying through the roof, all the trees snapping, sounded like a tornado. lauren: we are live in tallahassee right after this. this endangered species is getting help from some unexpected friends. these zebra and antelope. they're wearing iot sensors, connected to the ibm cloud. when poachers enter the area, the animals run for it. which alerts rangers, who can track their motions and help stop them before any harm is done. it's a smart way to help increase the rhino population. and turn the poachers into the endangered species. ♪ ♪ lauren: we are looking at another selloff this morning, folks, dow futures down 266 points, we were down more than 300 a couple moments a

it's in ben bernanke's book, "courage to act." he explains it clearly. and there is a great article in the atlantic that details all of this. it talks about frederick mishlin who was the only one worried about inflation. some of this started in 2007. the fed made net purchase of liquidities. then for whatever reason they decided all the way through september of '08 when they had made hundreds of billions of dollars in emergency loans that they needed to sterilize everything. dollar for dollar, for everything they injected, they took something out. that's what they did. they sold treasuries, taking reserves out of the system. it's in detail on pages 236 to 238 of ben's book. i'm not going to read all of that, but that's where it is. and they didn't only do it through this period. they did it all the way past this period as well. they kept sterilizing. they ran out of treasuries to sell so they had to come up with something new. that's when we got interest on access reserves. december of 2008, they start the first round, and by the end of 2014, they've inj

nobody argues with central bank santa claus, whether it is janet yellen, ben bernanke, mario draghi afterig parade, there's a guy with a broom mr. paowell was the lucky guy with a brook what would we do, see mario draghi to put rates at minus 200 basis points yeah, that will fix everything >> rick santelli thank you. >>> up next, more from the apple event in brooklyn. jon fortt wraps up everything you heard this morning meantime, dow is up near session highs, near 280. more after the break >>> dow is at session highs. one name that is helping propel that rally right now is apple, up about 1%. that event wrap up across the waterways in brooklyn. let's head out there now to jon fortt with an update. >> morgan, it is rare to see apple up on an event day often you have the sell the news effect let me put into context what we heard from apple today this will event. we expected to hear about new macs, portable macs, and also new ipads. we got that. what happened here is a recasting of the ipad. more specifically the ipad pro as a computing device primarily. apple didn't talk about tablets mow s

gold went two thousand dollars that for the first time on that friday ben bernanke slashed interest rates by seventy five basis points on a sunday night so it's an emergency rate cut you and i had an appointment at the bundesbank to speak to the head of gold and we went in there. but there was a gap on the other side max there was a gap on the other side i think it better explains the trump situation is the mainstream media the establishment media loved hillary clinton's line of america's already great the people liked his line of make america great again because they felt that america was no longer great the same thing in the u.k. they were told member tony blair standing up there and saying there were no immigrants nobody was moving into the united kingdom and yet millions were moving in millions were moving into sheffield and manchester and and birmingham and places outside of london and so the people could see something that was absolutely denied on the mainstream media now i myself personally am happy with lots of immigration i don't believe in any borders actually but nevertheless t

gold went two thousand dollars that for the first time on that friday ben bernanke slashed interest rates by seventy five basis points on a sunday night so it's an emergency rate cut you and i had an appointment at the bundesbank to speak to the head of gold and we went in there we didn't announce our because we knew they wanted to cancel it so we just showed up and i had my camera running and what we witnessed was k. . and in fact we spoke to one of their publicists and she came down to greet us and she admitted like they didn't they didn't know if they have the financial system would survive and that because of that that we definitely. himself had said that you cannot speak to anybody at the bundesbank specially the gold department he said so we basically aired that. we aired that and we aired that they didn't have any gold actually that germany did not hold its gold she mentioned that she had no they didn't have gold in germany but it was actually in new york so what did the people of germany do did they panic did they freak out did where their bank runs despite hearing that they had t

it's in ben bernanke's book. he explannings it clearly will there's a great article. it's a great article in the atlanta that does this. it's basically the only two pushing back against the idea of worry about inflation. what happened? everything started out fine. everything started out fine in august of 2007. some of the early signs of the crisis the fed made net purchases of treasuries. it's what they should have been doing. for whatever reason they decided through september of '08 when they had made hundreds of billions of dollars in emergency loans they need to sterilize everything. dollar for dollar for everything they injected they took something out. that's what they did. they sold treasuries taking reserves out of the system. it was in detail on pages 236 to 238 of ben's book. i won't read it but that's where it is. they didn't only do it through this period. they did it past this period, as well. they kept sterilizing. they ran out of treasuries. this is also in the book. they ran out of treasuries to sell so they had to come up with something new. december o

talking about the fact that we live in an era starting with alan greenspan and continuing through ben bernanke janet yellen and perhaps the current fed chairman and central bankers around the world that are huge to the orthodoxy of what became known as the greenspan put and that is the say activists central bankers who do not respond to cycles they simply keep flooding markets with fresh money whenever there is a danger of a bond market move down so what would stop the central bankers around the world who recently expanded their balance sheets by trillions of dollars the u.s. went from less than a trillion to something like five trillion on their balance sheet the e.c.b. has got trillions of euro's on their balance sheet that's sucking up all these bad bonds and preventing ales from rising what's the say that we won't just have another round of maybe quantitative easing four or you know a massive bond purchases by. central banks to the tune of fifteen or twenty trillion dollars worth once again like what stops them from just doing more of the same alister. low i can see it is dream on the prob

into ben bernanke and janet yellen, slowly handholding markets and said watches a bit is the latest stepn that. david: what have you -- vonnie: what have you seen that makes sense? i might understand why you might grumble about interest rates driving, but to attack one person. i think there are two things. anytime the fed that is raising rights, they are a target for the president because it takes some of the economy off the economy. prior to bill clinton, he would tech --y see trump they are the most harmful member of the auto qamar -- federal market committee. we know from people who have been in the room that -- but we know that the chair marshall is away. there is a reasonable place for a president that is going to criticize the fed. the fact that it should happen, what would be the process the holddent would try to chairman powell. it is not clear what for cause means. if we aregligent -- not sure raising rates will qualify, beyond that we are not sure the fed chair can be removed from office. this is uncharted water. no one has ever attended it. this has never been done in the sens

intervene, none of those things happened what brought the market out of the funk was a statement by ben bernankehe would no longer let any more banks go under in our country. it was unable to stop anything dramatic from occurring. were there ways to spot the bottom i have a couple of signs that could help one that i monitor is the standard and pours oscillator. when you get a moin news five, that indicates there is too much selling. when it is a minus ten i like to see who has been pessimistic or concerned about stock but reluctant who has said anything positive but then changes his tune the best example is from mark haynes who said. >> i think we are at thebottom >> we call it the haynes bottom. it baottom. before you say to yourself what happens if no one warns you again the next time, you know what, i have got some good news for you. sobering but good. if you waited long enough, six years, you did get back to where you were before the bear market began. all right, six years but if you had sat tight, you got back to even and since then, you made a lot of money yes, it would have been better to

macroy a year ago at our conference, ben bernanke presented his views about having a conditional price level target if you get near the zero lower bound, if you have been in a liquidity trap. people, like me, would raise we have the opposite time and consistency problem of what academics and modelers wrote about 30 years ago, which is central banks will promised overshoot or average 2% inflation during the crisis, but once the crisis is over, they renege and say no, inflation is at target. we are not going to overshoot. am i missing something here? >> you are not, and that is an element of that literature that i just referred to. said, i am familiar with that literature, but today i do not think that is a relevant me.ideration for >> ok. continuing in this notion of bridging from academic to real world, which of course, you are uniquely positioned to do, howdy you think about the tool of forward guidance that was the flavor du jour a couple of years ago? we all heard about the remarks about not putting too much faith in the stars. what is your take on the fed's experience and other cen

i'm not trying to take away from ben bernanke, but when he announces months before the crash essentially all is well, all is well, well, all wasn't well. and they're not gods. they're human beings. and for us to think that somehow an economy and a financial system as complex as ours can be reduced down to regulatory formulas is just hubris. it's absolute hubris. so the answer is, again, let's have more loss absorbing capital in the system. and let's have far fewer regulations. and that was the tradeoff in the financial choice act. and i still -- a few more minutes, don't i? i don't. all right. >> that's the right answer. >> that's the right answer. >> so i think we probably have to give in to the gods of time. but you have been very informative, as usual. and we have learned a lot from this. >> thank you, peter. >> thank you. [ applause ] >>> campaign 2018 coverage continues tonight with several live debates. at 8:00 p.m. eastern on c-span, utah's senate debate between republican mitt romney and democrat jenny wilson. to fill the seat of retiring senator orrin hatch. on c-span2 at 8:00,

ledby governor ben bernanke th fed was joined by the ecb, the bank of england and with swedish central banks and china joined as well. it was the beginning of the year central banks have only recently started to exit and added in september they cut rates for the eighth time. last month the bank said it was on track to end bank rates they hiked in august and agreed to oppose ongoing piping of monetary policy. more from "street signs" after this break every call is different, so the only thing that we can do to make sure that we get there safely, and that we leave that scene safely and go home at night, is train. and we train all the time in the fire service. no matter how much we train, the last thing you want in a disaster is to lose communications. without communications, we have nothing-- people get hurt. when disaster strikes, that is when your communication service can really become your lifeline. ♪ (nicki palmer) we are constantly innovating. from a dedicated lane on our network just for first responders to cell towers on wheels. we can even fly cells in drones so communications s

ben bernanke.ion dollars we spent on some kind of program here which wound up going nowhere. >> with all due respect, we have $2.2 trillion add to our debt under donald trump. >> oh, stop. trish: you are not going to win. i'll give you full warning. jason nichols you don't know we that well. but you will never win an economic with this woman on set. you won't. you absolutely won't. michael avenatti, dealing with his own legal problems tonight. a california judge ordering mr. avenatti to pay his former colleague almost $5 million in debt. hours later he was evicted from his california office for failure to pay $200,000 worth of rent. i look at him and his history and track record. is this the guy your party wants on the democratic ticket in 2020? >> last week and and i discussed this. i don't think avenatti will go very far. i think he has done some things that aren't necessarily things we want to promote. and some things i think that are important. he does his job which is to represent his clients.

we bottomed in march of 2009, when ben bernanke said he wasn't going to let another bank fail that was news for the stock market, because we had been hearing calls to nation nationalize the banking system the economy was still in freefall, investors were still terror tied and it was not obvious that things were going to get better. but there's no bell that goes off that tells you the all-cheer has been sounded and this month, the worst since november of 2008, is finally over, so let's do some buying. but we do have some sign posts that can help us out they're unemotional. on tuesday of last week when the dow roared up more than 500 points, we checked in with mark sebastien. he said the whole move would need to be repealed before we could truly bottom boom, he nailed it we got a huge decline soon after, and the volatility index traded up to 29 in lock step with the decline the vix measures fear, so it flies up when the stock market plummets, right? we've got to think like that we then went back to sebastian to see if he thought we saw the bottom he said no, no, no not until we had anoth

powell's game plan sounds like what ben bernanke did up to the great recession. tightening on autopilot with no regard for the reality of the situation. it's not just the financial crisis you have seen this story over and over again, lock step rate hikes causes an economic slowdown it almost never has a happy ending, something that the business side of president trump knows all too well now, all day today i got the vibe that i'm supposed to be dead wrong on this, that the economy is so strong that i'm totally off the reservation. but let me say this about the reservation. i don't take my cue from the fed or the data. i don't actually have that much regard for top down macro data about the whole economy and even including the fed's data i'm known as a bottoms up guy, i listen to the individual companies and sop up what they tell me like a sponge. i speak to the ceos more than anyone else in the media world i take what they tell me and i piece it together into the mosaic about the whole country that's my job. here's what i know what i hear. these ceos have gotten w

i would say during ben bernanke. >> can there be better policy coronation?is way ahead in its normalization process compared to the rest of the world. that is causing the pain. >> the united states is in a different cyclical position. it is growing quite strongly after recovering from a very deep financial crisis. the united states has reached full employment. i think that the fed is doing what it has to do. policy, theeconomic best thing is not to change the fed policy. the best thing is to make sure that the policy is coming from the united states and other countries and are consistent with preserving the open trade environment the world has enjoyed since world war ii and that has so well serve the world. that is the policy were i think a lot more coordination and reasonableness is necessary nowadays. >> your thoughts on the weakness in the you want? ? steven mnuchin saying that there could be some kind of competitive devaluation of the currency. do you see that? >> i do not. i think that the chinese currency has weekend -- weakened. i don't think that is

weak, real estate bubble got worse and we predicted that months before it went down in 2006, when ben bernanke is no problem, it is containable, subprime crisis thing. fundamentals, including we have a geopolitical cycle down since 2001, 9/11, doesn't start to turn up until year-and-a-half. all the cycles are down yet the economy has gone up, why? $16 trillion of money. trillions in tax cuts. two trillion repatriated in united states. we're only market in the world making new highs because of trump tax cuts. europe and them have not made new highs. that is another die vern answer. emerging countries are down 22%. china is down 26% and this is saying there is something wrong in the world. david: harry, i'm sorry, i don't if you can hear, we're talking over each other. >> if it does we'll see the market down 20% by mid-january. david: we're having trouble hearing each other, trouble talking to each other. two things i say to you, give you two points in and give you final word, the fact emerging markets are going down primarily getting terrible advice from the imf, raising taxes, devalue currenci

i don't like what happened at the fed, because like ben bernanke in 2005, we've got to put a stop tos. >> if one of the chapters in the lesson book is the economy conference calls during this earnings season -- and we hear more like ppg when there talking about rising costs does it make jay powell less or more likely to raise rates you could look it as this is slowing the economy down, this is a real impact on the stock market and we're going to step back, or you can say it is inflationary >> listen, steel costs have gone up so much it no longer pays to build. does that stop the economy how about jay powell he should watch the show tonight. janet yellen used tod get every input. you know, you got to listen to barry stern. he's saying the steel is slowing, it's not worth building that's a manmade problem we're trying to take on the chinese. when you take on the chinese, there's casualties, collateral damage i hear many people say peter navarro is not in charge they're fools. those who say he's not in charge do not do enough homework to be in the room. >> he's driving it >> very much i

. >> it hasn't worked in the past, ben bernanke's fed and adam greenspan. >> do you think we're a longackson hole. when you're hiking, you go out and have a destination >> you're not talking hiking rates. >> yeah. that's what i thought, too, oh, my god >> you have a destination in mind the conditions on the path will tell you whether you get there or not you may slow down a little bit if the conditions are genetxwke diabetic diabetbltz -- if there is debris on the trail and you use the economy that comes in to inform our out look that's where we're going we all put in a long term growth rate for the economy and seps. >> long run growth rate in the economy. >> we use it to where we are relative to our goals. >> i have to come back to this question maybe you don't want to answer, which is fine. we're at 2.2 1/4 now, where is neutral in your opinion and what do we need to get there? >> my long run fed fund rate is 3% but the neutral rate will vary over time. it's not a one time number if there's headwinds in the economy as there was in the financial crisis, we went slower, right, because

. >> we all got so accustomed to the fed holding our hands and helicopter ben and bernanke put, all that. trish: quantitative easing. >> if there was any problem whatsoever the fed would come to the rescue. all of sudden fed is doing the opposite. everyone says where is my seatbelt? it's okay. we're back to business as usual. >> i think guidance -- trish: deirdre, finish your thought, todd. i want to get deirdre in. >> go ahead, deirdre, i'm sorry. >> no, i will listen to you. trish: i think he say guidance will be altered, right, todd? going forward your fear because of all these headwinds they will have to alter guidance and earnings are not as big as we think? >> higher bills to pay. higher wages, higher interest on loans they have, will cut into profits. earnings will be great. guidance will be bad. trish: jerry fine, founder of charter objection management, all the companies he doesn't own, he is talking to regularly, inflation is running hotter than 2% and inflation is running hotter than 2.8% and -- >> brings up a great point. trish you study the market as good as anybody. you kno

. >> the journal goes right to ben bernanke, they skip yellen it's 3% yesterday.s morning first thing i was doing is multiplying 0.9 times the s&p and dow, and multiplying 0.8 times the s&p and dow to see what is a 10% correction look like and what does a 20% -- >> we're 5% off the highs. >> 5% already. >> 5.3% for the s&p 500. nasdaq is steeper right now. it's down 9.2% >> every one of these guys -- not you, necessarily -- they say we can always have a 10% correction so these things do happen. >> i think it will get complicated. >> don't get bullish >> i'm not bullish >> i think you might have something there that there is some support from earnings underneath the market. except for ppg >> not only ppg, but ceos will be more cautious in commentary in terms of future outlook >> especially given this week. >> is it weird it's october again? is it because it's halloween >> it started westernings because a ceo said on a conference call that our customers are getting affected by supply chain issues because of tariffs >> that's why ppg is so interesting. it's weaker de

he said that janet yellen and ben bernanke kept rates, low created a bubble in the stock market for political everyone on the right has been arguing for years that the stance of the fed should be phased out. now that that is happening and it is having an effect on the stock market, they don't like it. it's not -- again as with trump, there's nothing that is consistent and principled and ovals based. it's transactional in the immediate moment when he's operating in. so when some action might help president obama he's against it. when it might help him he's for i it. and that's what he's doing on the stock market. in a jay powell seems to be an independent type at the fed which, of course, the fed is supposed to be independent. and is going don't duct his business the way he wants to conduct it. >> also john harwood, in light of the kanye oval office disaster yesterday check out cnbc.com your interview with john legend. kanye comes up with that as well. >>> still ahead on "morning joe," easy to pass off the lock her up chant as a punch line in a concert like rally, but president trump said quit

he was a ben bernanke supporter, with a rifle and hit list of what, republican congressman, he almostmonstrations. the right down do that you're normalizing something that is un-american. steve: talk a little bit about your book, "why we fight, defeating american enemies with no apologies." you start with sun zhuo. >> and kalvitz. on war. if you know those two people you can defeat any enemy and president has an instinct for this stuff. so sun zhou, use power, strength of your enemy against them. nothing changed in warfare or politics for thousands of years. steve: donald trump understands the enemy? >> he understands. look what he has done. he makes a statement, people go crazy, especially on the left. what happens? a few weeks later a few months later turns out to be what, true? they wiretapped my campaign. what are you talking about, wiretapped your campaign. we find out. fisa warrant illegally issued with exculpatory information kept from the docket. we have the whole house of cards collapsing. i have rarely met a man instinctually strategic as donald trump. talking about isis. wh