bob eisen, head of research at the atlanta fed laid it out. the congress doesn't make money from the fed. it's an expense, you know, they get back the treasury's money less the fed's operating costs. cfpb too, by the way. >> that's changed by mortgages, chris. >> 1.8 trillion of mortgages. >> yeah. >> we're subsidizing fanny and freddie. >> that's right. other points? about new chairman of the fed? relation between fed and treasury? any other part of the government. >> the current administration seems to be somewhat unorthodox, to put it nicely, so i mean, i don't know. it's hard to say. i mean, historically this notion of fed independence doesn't hold up. it just doesn't. yes, volcker comes along, does something different. okay. yes, there is sort of this aura of operational independence and a degree of operational independence. but, over the long haul, they're not independent. >> no. >> you remember what former fed chairman arthur burns said, which was we can't exercise our independence or else we might lose it. >> that's right. >> other --

we have bob eisen buys -- eise nbeis still with us. let's look at g #btv 3010.nt trump suggesting puerto rico can wipe out its debt. who had to mulvaney step in and backtrack those comments. what you make of the president's comments? is there truth to what he said? case,n this particular mick mulvaney is the one you want to listen to. in the heat of the moment and so has a tendencynt to exaggerate in needs clarification. it is clear puerto rico has been devastated. they had a terrible situation, they were in bad financial straits to begin with. liquid geen their most at 32 just recently but rebounded a little bit. as far as the insured puerto rico is insured, we are confident the bond insurers will --ke the required payments yvonne: we lost connection with bob eisenbeis. we will see if we can connect with him later on. you can get a roundup of stories in today's edition of daybreak. subscribers, go to dayb . you can customize your settings to get news on industries and assets you care about. this is bloomberg. ♪ ♪ we are counting down to asia's first major m

the tax reform package and the ceo of nike exclusively with sarah eisen coming up on the next hour of the closing bell. thank you, bob >>> welcome to the second hour of the closing bell, i'm sara isisen in for kelly evans today. here's how we're finishing up on wall street. another down day the second one in the last three sessions here. looks like the dow is closing out with a loss of about half a percent, decline of 112 points making it the worst day for the dow since september 5th. so it's been a while the s&p 500 down half a percent, all 11:00 sectors within the s&p closing in the red nazi dock finishing lower, more than half a percent. similar kind of declines on the russell 2000 nike one of the bright spots in the sell-off finishing the day higher after announcing new sale targets at it's investor day. coming up, you will hear from nike's ceo mark parker in an exclusive interview on closing bell and it's another busy hour for earnings meg terrell covering for us. kate rogers will bring us the latest from buffalo wild wings and contessa brewers will have the numbers from las vegas fans. first let's talk about th

eisen at republica and brittany cooper. good to have you all with me. suzy, let me start with you. what do you make of the breaking news of bobueller an his team and the big reveal for an indictment. >> like you said at the top, it's certainly big news. it's going to put a lot of shock waves no matter who it turns out to be. obviously the higher up in the chain it goes, the more noise there's going to be. but one thing is for sure, we now see that this investigation is moving -- will be moving out of the speculative into the legal. that's where the donald trump team has to be very careful in how they proceed on this. they probably don't know anything right now or at least they're not supposed to. going forward, it's interesting we haven't heard a tweet from donald trump today. my guess is his lawyers are really putting it onto him saying just be quiet on this matter. >> when we think, susan, about donald trump, the team of folks that have been around him. we've got the former campaign manager of donald trump, cory lewin dow ski reacting to the mueller news today. other folks have remained suspiciously mum about what's going o