brainard, dr. cook is a leading economist with years of research, international experience, and monetary policy, banking and financial crises. she knows that workers drive our economic growth. she knows how important their local communities are. dr. cook spent her formative years in the south growing up in millageville, georgia. she spent a significant portion of her career in the industrial midwest. she's seen how economic policy set here and economic policy set at the federal reserve, she's seen how that policy affects all kinds of different people in different parts of the country. she graduated from spelman college, one of the great institutions in this country. she was a marshal scholar and a true truman arment. she studied at oxford university, earn add p.h.s. in economics from one of our great institutions in this country, the university of california at berkely. she is a tenured professor of economics and international relations at one of the great institutions in my part of the country, mi

rapid qt is coming and that's what lyle brainard said. you are my resident bull what do you think today? >> i'm still bullish, scott. let me start there the immediate future will continue this chop around the 4600 level on the s&p 500 and it's specifically around this tug-of-war between how fast is the fed going to tighten when will they start the quantitative tightening of it and can that -- i'm sorry, scott, what? >> in may. they're starting it in may >> okay. the point that i'm trying to drive at here is that on a day like today we're focussed on the negatives. there are positives out there, as well with some questions on them and the earnings trajectory is still positive. i expect you to chime in here and say that they're going to go down well, let's see. we've got a few weeks coming up of earnings season and whether the top line is expanding enough and margins are hanging in enough that earnings will continue to grow which is the projection and which continues to be increased upon or whether the slowdown is going to swamp whatever ha

brainard had an impact on you. >> think i said on monday the growth was back on again. i said on monday there was further upside potential for the s&p. steve's right. the hawkishness from brainard was not priced into the market we are now pricing in something that we don't know is it going to be balance sheet tightening that is passive is it predictable? what's the amount going to be? am i going to get a target from the federal reserve? am i going to get timing we have an adversarial fellow reserve. we've had the adversarial federal reserve for the last couple of months and they are clearly intent on utilizing wealth destruction as a weapon to cool demand and to effect inflationary pressures that's real and that's present that's been with us now for the better part of 2022 and you know, i keep hearing well, the bulls or the bears guess what, scott? everyone, raise your hand if you're losing money this year? unless you are a pure commodities trader or you're an individual on twitter that is day trading and telling you how great you're doing, this is as challenged an envi

brainard. acting director thompson. >> chairman brown, ranking member toomey, and members of the committee, i first want to thank president biden for nominating me to serve as director of the federal housing finance agency. it is the greatest honor of my career to appear before you today. thank you to the senators and the staff members with whom i've met in advance of this hearing. if i'm fortunate enough to be confirmed i look forward to working with all of you on the important issues at fhfa. i would like to introduce my sons who are here with me today, and i would like to recognize and thank my parents. while due to covid considerations they are not able to be here in person, the fact that my parents are still alive to witness today's hearing is very meaningful to me. i was born and raised on the southside of chicago to my extraordinary parents who came to chicago from mississippi as part of the great migration. my parents and family along with the chicago public school system and my beloved

governor brainard. thank you for the conversations we've had in the past year. i appreciate that very much. governor brainard, my questions are for you. >> thanks. >> as we've discussed, wyoming is the largest exporting state of energy in the nation, and that's because of our small population. we don't consume very much of the energy that we produce, we export it. it's critically important to our economy and to our job base and to american energy independence. do you believe the federal reserve has the authority, either through rules or guidance, to broadly curtail community banks investments in oil, coal, or gas exploration? >> no, senator. >> thank you. do you understand the regulatory burden that incorporating climate risk into bank regulation may have on community banks in wyoming? >> i do, and i don't favor asking community banks to put in place those kinds of risk management. i think to the extent that a supervisory guidance is appropriate, it's really appropriate for the large banks that have a b

the fed governor l brainard backs glob

see, brainard is widely considered the biggest protector of the working class on the fed. she was elizabeth borne's pick lead for fed and got the vice chair when president biden decided to stick with powell what matters is brainard is a dove which is good for bulls because she wants to help the downtrodden. she has been a relentless advocate of policies that happy to be pro inflation, that is until today. suddenly she's got the most anti-inflationary position in the entire fed we're going go through some of the words, this verbiage, because it's that important. listen to this today, today's inflation is very high particularly for food and gasoline all americans are confronting higher prices. but the burden is particularly great for household was more limited resources, end quote now previously brainard was adamant that inflation was transitory we'd get over it in speech after speech after speech, transitory, transitory now she says it's getting worse, not better quote, getting inflation down is her most important task while st sustaining a recovery. the fed has done its jo

lael brainard is speaking right now. the fed will shrink the balance sheet at a rapid pace and begin doing so as soon may. given the language we are getting from the fed, are you surprised how well equities are doing right now? liz: i mean, i am surprised at how strong the rally has been since that first hike. i did expect some bounce back after that first hike because the anticipation of an event is usually worse than the event itself. the lead up was very volatile. we did not know what to expect. but this fed has been clear as a bell about what we should expect from them. they did what we expected that first time in march and now they are being even more clear about 50 in may. as we move toward may stocks can get expectations in line about what we might see. i actually think, and right now the market is pricing another eight hikes at 25 basis points each, i actually think if inflation cools off and they go after it with a heavy hammer in may and june, you might end up seeing a more doveish pivot from the fed which will

eastern today when members return a confirmation vote expected for lael brainard to serve as vice chair of the federal reserve board of governors. you can watch live coverage of the senate when they return here on c-span2. >> c-span has unfolded coverage of the u.s. response to russia's invasion of ukraine. bringing you the latest from the president and other white house officials, the pentagon and the state department as well as congress. we have international perspectives from the united nations and statements from foreign leaders. all on the c-span networks, the c-span now free mobile app, and c-span.org/ukraine. our web resource page where you can watch the latest videos on demand and follow tweets from journalists on the ground. go to c-span.org/ukraine. >> host: we welcome back congressman welch, a member of house intelligence committee. you return from a trip to eastern europe getting an up close view of the russian invasion of ukraine. what did you go and you see? >> guest: we went to poland, lithuania, slovakia and then some of my colleagues went to romania. there were two prof

do you think brainard means it? >> i do. i think that there is almost certainty this we get 50 basis point hike and as far as selling off the bonds, we will see how aggressive they are and i think it'll be month to month. i think we will be very dependent on data as we have been saying all along and as you know with interest rates spiking very quickly on mortgage rates the housing demand or at least the, you know, i think the sales and all the projections that with e will see going forward are going to be lower than before obviously and it's going to impact all of the people out there that want to buy homes and, of course, we have the supply shortage in that sector but it's a difficult situation but i certainly think that the fed will be aggressive early. like i said, i'm hopeful that it'll give them room if inflation does come down and i think it will. as long as the supply situation gets better and, again, in certain areas of the industry, different industries if the supply situation is improving fast enough but if it can

brainard is talking right now at a conference with "the wall street journal."imistic and i would say guarded comments about the inflation report this morning. several economists and brainard who is the presumptive vice chair nominee for the federal reserve saying that she welcomes the moderation in the core good sector you'll note there was the good sector came down mostly propelled by the decline in used car prices i say guarded because she says there's a lot of potential upside risk to inflation down the road including the invasion of ukraine by russia as well as the china lockdown she said these present upside risks to inflation overall, scott she gives an optimistic ability of the fed to raise interest rates suggesting there is a lot of strength in the labor market and in the economy she's optimistic about that, but these are, i don't know. guarded comments about inflation. >> she does say that the recovery can be sustained even as we bring inflation down that speaks directly to the question of whether they can engineer the soft landing amid doubts that the

that is what brainard emphasized yesterday.gram is quite a bit bigger, so is it more aggressive in absolute terms? almost certainly. in percentage terms? now. this could happen really quickly come up probably has a big impact on the securities the fed owns the most of, so five, 7, 10 year treasuries. they took a pounding yesterday. guy: is it as simple as saying, this is symmetrical? qe, flatten the curve, qt, could steepen the curve? mike: i'm not sure that is quite that easy, but the other side of it is, if you consider the big trade in risk markets going back to 2009, qe, buy risk. maybe some of that is what is going on today in the equity market. kailey: what we are talking about right now and what the fed has alluded to is runoff. we are not talking outright sales. do you expect the fed will get to that point? mike: on the treasury side we do think the fed has quite a bit of capacity to do simple runoff. my colleagues at wells fargo have done all sorts of simulations, but if you look at the fed balance sheet it has somethi

to give it a few days to process it they have pretty much delivered as brainard suggested. i'll tell you why. going into this meeting, all of our surveys had the fed run off about $70 to $80 billion they ramped it up. they're going to get to the caps perhaps more quickly, new information about a fairly hawkish fed. i would not see these minutes as dovish the fed is mapping out of the with you most aggressive tightening cycling maybe bill will tell me if this is more hawkish than that. >> this is a historic moment. >> absolutely. >> as the fed starts to unwide what we have seen. >> absolutely. >> and this enormous stimulus, going into the virus. >> right. >> bill, i'm not steeped in this bill, and you are. as the fed tries to unwind this. you wonder what the mechanics looks like that means selling or getting rid of or letting mature a lot of different assets. what happens to the assets and what happens to the funds that come back to the fed explain the mechanics of how this works >> what the fed has in mind is they're going to -- so currently the fed is reinvesting it will s

to thank director thompson and governor brainard for being here today. director thompson you said there something in your opening statement that something i think we need to pay attention to and that is the ownership gap today, as wide as it was in the 1960s when discrimination was legal. this is a question for you but if governor brainard wants to add to this i would certainly like to hear her opinion, too. what can you do about closing that ownership gap in the position that you're going to be hopefully confirm for? >> thank you for the question, senator. access to credit is really important essentially in minority and underserved communities generally. i mentioned earlier we've asked the enterprises to develop equitable housing plans that focus on some of the inequities that if taken place. they are supposed identify barriers for underserved communities particularly black and brown communities to engage in home ownership. we are looking over those plans now and some of them focus on education and making sure opportunities are available for people to u

on wall street we have markets closing as lael brainard says the central bank could chop away at the 9 trillion-dollar balance sheet at a rapid pace. the major average all in the red with the two day winning streak. breaking news to the newest major shareholder and giving them a seat at the board table not enough at this hour to push twitter shares to the annual high the minute the news hit all around twitter agitator elon musk the nine-point to percent social media the stock has 2.8% gain at the moment in yesterday's 27% gain has seen the biggest to date again in history. in traditional elon musk fashion is taken no time to become the twitters china shop that the plan of twitter users by the latest poll do you want a button and then he gives two options yes or 0 in. why the poll got 59000 replies, so far five hours left to stay life the best one might be this from twitter ceo who said the consequences are important. basically slightly trolling elon musk who said the same thing about whether twitter voters on a recent poll thought free speech was free on twitter. in case you're inter

define the difference between volker and brainard inflation? difference with this 8% versus 8% when you were certified at berkeley? bill: the inflation volcker had to fight built up over a longer time so expectation started to rise significantly so it is harder to get away. the good news is inflation expectations are well anchored. the fed will not have to do as much to push inflation back down. jonathan: your line in your piece this morning has got everyone's attention. "to be effective, it will have to inflict more losses on stock and bond investors than it has so far." run us through financial conditions and how you gauge them and why you believe stocks to be a big part of that? bill: they are important in the u.s. chair powell has emphasized this in his prepared remarks. that is how policy works. the economy is run on short-term interest rates, long-term interest rates and the stock market. a lot of people have exposure. it affects their wealth. the fed has said clearly we need to tighten financial conditions, slow the economy down to keep

look at past bouts of inflation, lael brainard is talking aggressive. they will have to get aggressive. we'll see if she does that. we have to take air of one of the big cost drivers which is oil and gas. if we put a total all-on effort in this country to pump produce, move with pipelines i do think that would make a difference. it would certainly raise confidence a little bit, charles. that's what we need right now. charles: i agree 1000 percent. folks get more of this amazing erudite, what are some accolades they throw at you, brian? >> mead ekerr is -- mediocre is what i normally here. charles: 5:00 p.m., brian is the host. tune in. kicking off the campaign to drag oil ceos in front of the public. they will continue the blame game and demonize profits. ukraine president zelenskyy is demanding that the u.n. hold putin accountable against more horrific russian atrocities. more will be discovers. we have wyoming senator cynthia lummis. she will weigh in right after this. my sister's managing a lot, including her type 2 diabetes. but she's found new ways

jonathan: the line from governor brainard, we need to reduce the balance sheet at a rapid pace. chairman powell said the same thing. that is exactly what a few of us will do. we will look for the fed minutes. tom: we talked to bill dudley about what is the difference between the vulgar inflation and the brainard inflation and to me it is the intertwined nature of all of this with the pandemic, with the huge fiscal stimulus and i will suggest a massive mystery between bill dudley and david blanchflower is one debate. jonathan: we are moving quicker, much quicker. balance sheet reductions will happen faster because rate hikes have not happened soon enough. the hikes started in 2015. the reduction started two years later. it was not years between. it was a couple of months. that is the change this time around and they believe they can go faster because this economy is stronger. will this economy hold up? tom: the next trip for abramowicz out to lax and up to mammoth mountain. lisa premium in mountain -- mama mountain, $7 -- mammoth mountain, seven dollars per gallon. lisa: this is

from lyle brainard, from bulbar to where we are -- from lael brainard, from volker to where we are now great moderation over? vincent: i think that is right. one way to put it is we have had two generational shocks. a pandemic and a european war in the space of two and a half years. that is within a decade of what we thought was a great financial contraction. we have added a lot more to volatility. the great moderation was the great anchoring of inflation expectations. we achieved what paul volcker and greenspan talked about, a situation in which households were more concerned about a changeable price level making their decisions. we are out of that range and we're probably out of the great moderation as well. tom: the question is if the moderation is over, greenspan invented with you along the x axis this word measured. are we done being measured? vincent: greenspan also produced the policy tightening of 1994 and 1995 that putting intermediate actions, then 50, then 75. he was willing to do what was appropriate. i think being measured at this point has drawbacks. a better word than me

this was all about brainard, faster qe, qt, faster than the last time. the fed going straight up hawk

brainard did not make it clear whether she supports a half-point hike in may.d she is open for stronger actions if needed. >> given the recovery has been surly stronger and faster than any previous cycle, and i expect the balance sheet to shrink more rapidly, with significantly longer -- vonnie: the kansas city fed president esther george says a half-point rate hike is an op tion. in grecian -- in an exclusive interview, she set the size of the increase will need to be weighed against plans for striking the balance sheet. >> we know that this policy is as accommodative as at any time where we have inflation this high and labor markets the sigh. there is no question policy has to be removed. 50 basis points will be an option we have to consider along with other things. again, i am very focused on thinking about how the balance sheet moves in conjunction with policy rate increases. vonnie: the u.s., eu, and g7 countries are coordinating a fresh round of sanctions against russia. measures include a u.s. ban on investments in the country and eu ban on coal imports.

lail brainard now has turned into a hawk.going to be to see brainard really come out with all due respect to her in her position as first position to fed chair jay powell, where was she? where was she in q1 of this year i think it's a little too late, a little bit reckless to talk about this after a 100 basis point move on the ten-year note. now we're at 2.6 so maybe this is the top tick for inflation because of the doves crying or panicking, but i think it's an absolute capitulation and we'll have to see how she talks about running up that balance sheet. we knew that was coming. sully, their balance sheet is borderline gross the bottom liquidity market is gross. if they pull back at $100 a month, they're still going to be at $8 trillion when they ring that new year bell for 2023. a lot of rhetoric, job owning. markets did not like it, no doubt about it i stay up at night when i talk about 2.5% i think it's short-lived, but it's bothersome to any home buyer or to anyone who has anything tied below it. >> the fed balance sheet

10% move in five sessions you are getting it from the most cyclical part of the market and lael brainard has been the most dubbish member of the fed is about to be appointed as vice chair of the fed is suddenly very nervous talking about, not dumping, but felt like dumping $9 trillion in assets on the fed balance sheet and would need this faster than the market expected. >> that and getting inflation down was paramount she's being quite hawkish in the markets, dan. >> if we start to listen to fed governors and listen to high-valuation tech stock brings us back to last time contemplating what it felt like to tighten in 2016, concerned about global growth, i realize this time is different, i'm not liking the prospect of, you know, even on day like today with crude down, back to $100 or whatever, if we start to see the dollar go up, crude go down, and stocks pick up in volatility like this with the back drop of uncertainty, europe is likely to be in a recession and likelihood we're pricing in a recession in 2023 at some point stocks only down 5% are going to start to actually have to price

down .4% versus an .8% for the s&p and 1.9% drop for the nasdaq now about 175 points comments from brainard saying inflation is too high. you can see we're pretty much at the highest levels of the session. this hour, we'll hear from citi's chief economist who's calling for the fed to hike four times by half a point. what does he think to make now the balance sheet comments we'll explore in just a bit. >> the fed's rate hike path is looming today as it has been for weeks now and so the question about whether a recession might be ahead inflation, high. growth estimates being lowered yield curve in and out of inversion, but the labor market is strong. wages are rising businesses are investing investors, well, it is the land of confusion so here to help clarify where the economy stands, steve liesman, the latest high frequency data on the consumer and cortney reagan with what some of the retailers are saying right now. steve? >> there are some early but modest signs of stress among the consumer, but spending's held up will given the challenges and the outlook remains upbeat the chase credit car

barkin and brainard on the other side of the ledger. that's assess where we stand on inflation. -- let's assess where we stand on inflation. vincent: -- needs to do more looking at the latest inflation print. tom: is 9% too far? vincent: i think inflation is the story. at some point, there is the question of inflation peaking at some ways. we shouldn't slow too much of the economy is in coming months. -- economy in the coming months. we are looking for 50 basis point rate hikes in the coming meeting and it will be dependent for the fed looking at the inflation data. i am convinced that inflation is sticky somewhat and we have seen that already for used cars. we may see hopefully's in the course of the year where we have some form of agreement around the situation in ukraine, we might have less tension on oil and gas prices. to me, it is a matter to look at that. tom: maybe starting to peek in some context. you mentioned the earnings and a kristine, -- and kristine, i want to bring you in on this. kristine: we will see how the war in ukr

leo brainard made the mac -- leo brainard made the market move last week.s at an event at new york university. every single sector is in the red apart from basic resources. that is that for the european market open. "surveillance: early edition" is up next. this is bloomberg. ♪ at xfinity, we live and work in the same neighborhood as you. we're always working to keep you connected to what you love. and now, we're working to bring you the next generation of wifi. it's ultra-fast. faster than a gig. supersonic wifi. only from xfinity. it can power hundreds of devices with three times the bandwidth. so your growing wifi needs will be met. supersonic wifi only from us... xfinity. >> i have no optimistic impression i can bring you from this conversation with president putin. >> we are facing uncertainty. we are facing rocky waters right now. >> it is a brute force hammer that we use in the economy. >> this is bloomberg surveillance: early edition with francine lacqua. >> good morning and welcome to bloomberg surveillance. this is the early edition. i'm dani burg

we have breaking comments from fed governor brainard, and steve liesman has that >> thanks very much.d will begin to reduce the balance sheet at a rapid pace as soon as the may meeting. sort of echoing, maybe going further than fed chair jay powell has gone in the past. she said the committee will continue tightening policy methodically through a series of interest rate hike of paramount importance is to get inflation down on the balance sheet, she said expect to shrink the balance sheet more rapidly than the fed did in a previous balance sheet reduction period, and that includes monthly caps on the run-off, the fed will set a level on how much it will allow to run off those levels will be large they'll phase them in but gem tothet quickly all this combined will make policy, quote, more neutral, she says, this year. that sounds like she wants to get around 2%, maybe higher on the funds rate, and the fed will have an opportunity to hike rates at every meeting this year the committee is prepared to take stronger action if warranted. that is if inflation does not come under control she s

yian mui >> lael brainard did pass, 52-43.ad also hoped to move forward with lisa cook's nomination to the board of governors as well as well as possibly later on philip jefferson to the board as well as jay powell as fed chairman but now that two democratic senators have covid along with vice president kamala harris, that is upending the democrats' narrow majority in the senate and throwing the time line for those additional nominees to be confirmed into flux but at least for now lael brainard has been confirmed by a margin 52-43 as vice chair of the federal reserve's board of governors, sara >> yian mui, thank you for the update on brainard. >>> we are going straight into the "closing bell" market zone mike santoli here to break down the crucial moments of the trading day and craig irwin on tesla. shares tanking and piper sandler and we'll start broad markets because they're selling off. now at session lows and took a dip lower in the final hour and, mike, it's pretty broad. every dow stock is lower every s&p sector is lower

what can you tell us about these remarks from lael brainard? yes. even into the important thing is not just what was said, but who said it, you mentioned lay brainer. she is, no one wasn't the federal reserve as being one of the bigger doves and not hawks. meaning that in general assistance, she stands for a loser monetary policy. but now she's saying that the inflation is way em higher than what the federal reserve likes to see. and that there should be a rapid reduction of the 9 trillion dollar a balance sheet. and that it might be necessary to increase interest rates as speedier than the $25.00 basis points that we've 1st seen at the last fed meeting in march. so she's kind of hinting that maybe at the next meeting early may, we might even see an interest rate increase some of about to 50 basis points. inflation was already high in the us when the war broke out, it's only added to those inflationary pressures. what are economists and experts expecting the external expected inflation can be brought into line this year? as the wind, i mean, clearly

we will vote on lael brainard. ms. brainard received bipartisan backing in the committee.s soon as tomorrow, the senate will proceed on the nomination of lisa cook to sit on the federal reserve board of governors. coming from humble beginnings in rural georgia where her family fought segregation, she will be the first black woman ever to sit on the federal reserve board of governors. his qualifications are irrefutable. she is a professor at michigan state, a member of the chicago advisory board and served in president biden's council of economic advisors. in short, ms. cook belongs on the fed and i look forward to confirming her. this week the senate will confirm alvaro bedoya on the federal trade commissioner. mr. bedoya's confirmation is significant. if we want to lower costs, if we want to understand why the things like the price of gasoline have surged, it is important to break the deadlock at the f.t.c. every time americans go to the pump, they just know something truly rotten is going on with america's energy sector. last year the top 25 oil and gas companies record

lawmakers will debate several of president biden's federal preserve nominees including lael brainard to serve as vice chair. also lisa cook who if confirmed will become the first black woman to serve on the fed board. the house returns tomorrow at two p.m. eastern. later members will vote on legislation to streamline the process for lending and leasing weapons to ukraine. the house may also take a president biden supplemental request for military aid for ukraine. if it's ready for for action. watch live coverage of the house on c-span, the senate on c-span2, online at c-span.org or with our our free video rapn now. >> a senate vote on whether to advance lael brainard nomination to be vice chair of the federal reserve comes up at 5:30 p.m. eastern today. here's a look back at her confirmation hearing before the senate banking committee. lawmakers on the panel also considered the love nomination said thompson to be director of the federal housing finance agency. this is about two and a half

brainard and barkan call for quick rate hikes. treasuries slip. dead-end.tin says negotiations have stalled.

was lael brainard's comments yesterday a volker style verbal shock for bonds? kit: good morning.rtainly was received as a shock. it's pretty clear now that the fed sees inflation as the clear and present danger in front of it. everything that's happening other than that the threatens growth, we will deal with that when we really see how it's affecting the economy. the job numbers are good. the rate is strong. what we have in front of our noses is a big hard hammer and we are going to do exactly that. to answer your question about how far this goes, this goes until other markets react enough. the u.s. treasury always gets to sell bill bought -- big bonds. the money will come out of corporate bonds, mortgages. equities even. that's where it will come out of to go into the treasury market so that we can fund the united states. when the pain is felt down there, that's when the net has been cracked. dani: it's a smorgasbord of metaphors this morning. what area is most one or up a? where will that pain be felt? kit: part of me wants to say the corporate bond market because that's where

don't forget, it is all about lael brainard, federal reserve governor and what that has meant for fixedome. haslinda: that's right. rapid pullback in bond purchases. the boj may intervene again to cap yields. getting close to the central bank limit of 0.25%. for more on this, david finn at he joins us. the boj appears unlikely at the moment to do an unlimited debt patch today. is it just a matter of time before it is forced to do it, given the rise in global yields? david: it appears that way. so far it has not done anything. 10 year yields have ticked up one basis point but when they intervened last time it was at .25, so it is up a threshold. i think the market is waiting for the yield to push up that high. they have not done it so far today but is it just a matter of time? the key is what happens to u.s. 10 year yields. because they tend to drag everything with it and in reaction to that i think the fmc minutes will be key because markets will be looking for any more information on this bond balance sheet reduction plan and how large it could be. obviously the larger the reduction th

most republicans opposed brainard because of her views on regulation.eanwhile, a combination of covid-related absences and staff threatens other nominees. norway is tops when it comes to normalizing life alongside coronavirus, while hong kong and mainland china are among the worst. that is according to the bloomberg covid resilience ranking for april. norway is followed by ireland and the uae for places where the pandemic is being handled as. the u.s. fell to 23. the u.k. is down to number 12. both due to the number of fatalities. global news 24 hours a day, on air and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in over 120 countries. i'm lisa matteo. this is bloomberg. ♪ >> we do want to make it harder for russia to threaten its neighbors and leave them less able to do that. they are, in fact, in terms of military capability, weaker then when it started. we would like to make sure they do not have the same type of capability to bully their neighbors that we saw at the outset of this conflict. jonathan: that was lloyd a

brainard told us yesterday do so much it's going to tilt our economy into recession and then have to stop then maybe even have to do easing because the economy's going to be in recession and inflation come down. is that too far of a leap? that's out there and could be what's limiting the damage here in the stock market. >> when i was a young man i had someone tell me not to forecast around two corners effectively what you're asking me to do, forecast around two corner, but seriously. i do think that if you're going to get a soft landing there will be an easing cycle on the other side of the tightening cycle that's not an ish rational proposition whether it's a soft landing or a hard landing, and i think the yield curve will sort of try to figure out many, many curves along the way but i think where we are right now is the fed wants the entire yield curve to move up not just with controls but wants -- the yield curve to actually steepen out the curve effectively restore a private market determined risk premium, remove suppression of volatility that qe imposed. >> stephen it is a quest

this is something that was touched on by the fed this week when vice chair nominated lael brainard spoke on the issue of inflation impacts on various families. so, unfortunately, there is more to comment at this is what this report says. there could be another 20% increase in food prices over the next year. we have next year's planting season for grain and wheat in the ukraine. that will be impaired by the conflict. so, this discuss of another 20% increase, we have not seen the effects of in races in the last couple of aunts in the u.s. passed on. -- of increases in the last couple months in the u.s. passed on. this will be measured in human suffering in many parts of the world. jon: when we think about metals and the ability to store some supply, food, perishables, and the next landing season, it is -- planting season, it is hard to know when pricing pressure eases. what does that say about the global economic story? watching stories around which economies suffer and what kind of recovery we are looking at, how does this play into that? john: you already have 750 million people around t

brainard and dr. cook. and we also call on the senate to swiftly take up jerome powell and philip jefferson's nominations this week as well. these nominees are eminently qualified, ready to get to work, and deserve bipartisan support. they also will make history. lisa cook would become the first black woman to ever serve on the board of governors, and philip jefferson will be only the fourth black man to serve on the board of governors. finally, the va announced today new actions to expand disability and health bene- benefits to veterans suffering from nine rare respiratory cancers. supporting our veterans is a critical part of the president's unity agenda. and with this step, the president is continuing to deliver on the sacred obligation we have to our nation's veterans. the president urges congress to pass bipartisan legislation to comprehensively address toxic exposures and further delay the vital benefits our veterans have earned. andrea, welcome back. peter, welcome from book leave. now they're going

saying it. >> shock factor. >> if that's a hawk there's no dubs left. >> i don't think brainard want from dove to hawk overnight. she's progressed with the entire board. and the monetary policy dove is an endangered species, there's nobody who wants to hold this back they used the word exped issues is -- expeditionous . the vice chair is the policy pulling guard for the chair. they're going to come out and lead the way i think they rolled her out because perhaps the expectations in the market that wasn't paying attention and the fed needed to socialize the more aggressive numbers. >> can i ask the guest another question. >> i want to get in our. >> sorry. >> i want to get the trade off all of this. from what steve liesman is saying and what we know where various fed officials stand, including former fed officials, it seems, jeff, there's no reason to be in the market right now unless you believe full impact, a negative impact has been inflicted on the overall average and the markets have fully priced in this tightening, opposed to pockets of the market which karen is pointing out. >>

take lael brainard. last year she said inflation is extremely well-anchored.ow she says it is too high. fed's most important task right now is to take care of it. so if all of this chatter or jabs the big question is, what happens to the market when the fed really starts to throw haymakers. we have in studio, phil blancato, ann berry. the federal reserve deliberately, deliberately trying to crush the stock market. they want to beat it down where people lose the wealth effect, stop buying things but not beat it down so much wes rao everything. slip it into recession. they call it a soft landing. phil, you were excited with the way the fed handled things for a while. seemed you spot anxious. do you like this strategy or approach? >> the next move unwind the balance sheet. next couple weeks, 95 billion out of the balance sheet. that is three hammers on interest rates higher. if they go to extreme they will not navigate this soft landing. to your point i think it is more jawboning right now. if they shock the system with 50 basis points in may, another 50 in june.

lael brainard really reinforcing the hawkish approach we have been seeing from the fed.also heard from the rba yesterday dropping that language around patience, adding two more hawkish bets they will be moving sooner and quicker in australia. take a look at the 10 year bond yield jumping to 2.9%, the highest since 2019. we already saw some pretty big moves, taking a slide at the open. we also saw the prospect of further rounds of sanctions on russia, further adding to the economic downside and inflationary pressures. take a look at the new zealand. of course watching jgb into the japan open. crude falling about 1.25%. some residual concerns over demand construction. take a look at gold. flat at this point. a big jump we saw the aussie dollar as well, the biggest in almost three weeks, and sitting at the highest since about june. still outperformance coming from the best performer in the g10 space. our next guest seeing further upside, likes the markets with highest exposure to them. joining us is mark matthews, head of asia research at julius baer. as debate continues ov

senate today confirmed leo brainard as bryce chair -- lael brainard as vice chair of the federal reserve. efforts to wrap up debates on lisa cook's nomination failed. republicans have questioned her experience. vice president kamala harris has tested positive for covid-19. the white house said today she has no symptoms, but will self-isolate and continue working. aides also said she has not had close contact with president biden in recent days. the cdc n estimates that three of every four children in the u.s. have been infected by covid. that follows a dramatic jump in cases during the omicron variant's spread. today's finding came as the white house moved to make paxlovid pills more widely available. they can sharply reduce serious illness and deaths from covid. >> we're opening up a federal pharmacy channel and what that means is pharmacies can order directly from the federal government. currently there are about 20,000 sites that carry paxlovid. we expect with this change we'll very quickly get to 30,000 and within the next coup of weeks i expect us to get to about 40,000 sites. steph

breaking now the market to neil's point from lael brainard from super dove to super hawk. can they dismantle the beast without triggering a massive recession? some say they should trigger a massive recession. meanwhile this is causing a lot of headaches for you investors. it will lead to a lot of mistakes. so how to navigate this market. there doesn't seem to be any good news. mrs. for the first time in three years more bears than bulls according to one survey. later in the show why i think that is actually a positive. democrats in congress putting on a public spectacle blaming american oil companies for higher gas prices. only problem, they make five cents per gallon sold. senator roger marshall on that, a potential for a major food crisis. that is what we should look at. all that and so much more on "making money". ♪. charles: all right. like i said we're reeling from those comment yesterday from fed governor lael brainard who will be vice-chair at some point soon shifted the conversation from hikes to rate hikes, and balance sheet reductions simultaneously. we have the

breaking now the market to neil's point from lael brainard from super dove to super hawk.

lael brainard of the district of columbia to be vice chairman of the board of governor. the presiding officer: i send a motion to the desk. the presiding officer: the clerk will report. the clerk: cloture motion: we, the undersigned senators, in accordance with the provisions of rule 22 of the standing rules of the senate, do hereby move to bring to a close debate on the nomination of executive calendar number 808, lael brainard to be vice chairman of the board of governors of the federal reserve system. mr. schumer: i ask consent that the reading of the names be waived. the presiding officer: without objection. mr. schumer: i move to proceed to legislative session. the presiding officer: question is on the motion. all those in favor, say aye. those opposed, say no. the ayes appear to have it. the ayes do have it. the motion is agreed to. mr. schumer: i move to proceed to executive session to consider calendar 844. the presiding officer: the question is on the motion. all those in favor, say aye. those opposed, say no. the ayes appear to have it. the ayes do have it. the

stocks falling on hawkish remarks after -- from leo brainard. the market is astounding. >> stocks extraordinary but bonds even more so. the nasdaq 100 down 1.7%. this is really a key market here down for 4.1%, technically below all of these moving averages. when you have the stocks down, those similar to 2018. could be some ugly news ahead for stocks. take a look at what's happening here, yield curve is no longer inverted. you can see the two year yield, its highest since march of 2019. the 10 year yield hyacinths april 2019. now it's interesting will this be like the yield curve inversion of september of 2019. we will know soon. this is the chart late last year that made it seem yields to go sharply higher. this is the long-term chart on the 10 year yield. this is the great bond bull market. you have this downtrend. you see the 10 year is right at the top. i never expected to see a scan point this high but it seems likely history will repeat itself and you will see that go back to the middle of the channel. some think it goes back to the bottom

congress returns, we're taking a big forward toward filling these seats with the nominations of brainard and cook making their way to the senate floor. i columnist when it -- i call on the sent to simply take up -- these nominees are qualified and varied to get to work and deserved by person support. and they will also make history. lisa cook would become the first black woman to serve on the board of governors, and bill jefferson fourth men -- black man. the v.a. announced new action today to expand disability and health benefits to veterans suffering from rare respiratory cancers. disability and health benefits to veterans suffering from rare respiratory cancers. supporting our veterans is a critical part of the president's agenda. he urges congress to pass bipartisan legislation to address the vital benefits our veterans have earned. reporter: [inaudible] jen psaki: what secretary alston was referring to is if you go back two months ago, pruden gave a speech where he talked about his aspirations and those he had for the russian military, which were to degrade ukraine and take over the

. >> welcome to "the halftime report" i'm scott wapner that brainard bombshell still reverberating and'll debate that with the investment committee, jenny harington, sarat sethi, joe teranova, and that's for the first time since march the 2