bullard. >> exactly.estingly, he does swing back and forth, depending on where the consensus is. but also, he is really reiterating something kyle has said for over a year, at least hypothetical back then, yeah, of course will be coming before we get to 2%. so i think that still feeds into the general level of comfort the market is displaying right now. not just with where the fed is, but also, it seems like you have had enough give related evidence that the economy is in an okay spot, inflation is going in the right direction that even if they get some adverse surprises one way or the other with the pce and gdp, you have a cushion against that at least in the intermediate term, if not on the reflex reaction. >> bond auction, watching the two-year auction for any trouble. you really did not get any. >> no, it was absorbed pretty well. i think we are in this mode right now of looking at things like a big bond option and seeing if we can check on that box, or do we have to start worrying about yield getting

guy: jim bullard, obviously some pretty big shoes to fill there. be exciting to see if the narrative does change. cpi is going to be interesting next week. we get cpi data out of the euro zone tomorrow. we are going to be looking forward to what those numbers are going to tell us. we have french data today. we get a pop higher, because of the base effect. it is all fairly well telegraphed story. is the ecb going to look through that or is this a relevant number for them? catherine joining us now. nice to see you. we understand the base effect. we understand because of energy and other things we are seeing a take higher in information. -- tick higher in inflation. what does the ecb do with that? does it say, we know the ultimate trend is down therefore we can ignore this, or is the data relevant? >> i think it is relevant to the extent that the ecb will be concerned that high-headline inflation could lead into the anchoring inflation expectations and higher wage growth. i think it is still relevant for the ecb, and i think that perhaps in part is be

the strikes come after you cranes, president bullard, where zalinski about russia would pay for it. slave dismiss all attacks on ukrainian cities. at least 5 people were killed and nearly a 100 wounded. and those air strikes on the eastern city of car keys and the capital keys. the rescue workers search for survivors in a damaged building. the russian missiles caused extensive destruction to this neighborhood, and keys was outside the other side of the house. and it was flying like this red building and then hit and smoke started coming out around in and saw that there were no windows in the system. the premium capital was the target of several russian strikes, which mostly civilian areas. just a little so targeted the country, 2nd largest city hockey, injuring dozens, and turning parts of residential neighborhoods into smouldering craters, cranes, president lensky contacting via tax credits with western defense systems for intercepting and destroying the vast majority of russian missiles. so there were a more strikes by the inhuman russians with almost $100.00 rockets of various types .

there can't be just one john bullard and. to mike tagg. why would you want je? he has so many stories and they all last at least 20 minutes. we started at abc the exact same day in the exact same office. 're like a we're like a one ke one. are you rolling? was from the south. i was from the north. they made us. we barely understood what we said to each other. and they all start almost the same way. one word marker to tell you. next tng you know, 2minutes later, i say, okay, all right. we got to. yeah. atlanta, 198 peter jennings and i were needed in mashed potatoes. john has done an incredible person call a friend for about seven years that i've been working with him. he's someone who doesn't just do his job, but he gets tonow you along the way. i think that's a really importanpart of working at a place like nbc news. always helpful. any time. i think john was always i describe john bowl in three ways and the simon editor's dream. he never says, you know, a partr's dream. he'll always share his big mac and a correspondence dream every stand up is a work of art.

also a luncheon instigation on one of his players and by a gauzy and the same happened to. 6 each bullard times i chose 3, i mean was fuller in english club so. so this is uh, the latest sign of house football has become a political to know why we should expect uh, from this case i've been talking to some lawyers here and they say that uh, actually this action is not really a, a board. it will not need to further investigation and it's probably a political decision mail to talk to us if you would about to send someone towards the conflict among not just bullet tissues in total ca, but among the locals as well. well of course the look here. uh, i can say the latest events show how they are really taking a prop paula side pro gauze us sense here since the start of the war. almost every single weekend there had been processed. a across the country, um book through pull testing, every single the we can since the start of the war. uh you to take you to make attention to make the case that, that the, the conflict should and as soon as possible and civilian slot lives should be protected. um, so

for s&p 4900 well, netflix beats, pmis beat, microsoft goes to 3 trillion good news is good news bullarda bit, too >> that's the formula. it's working right now it's interesting that netflix ends up being this bit of a spark when, as i was saying before, it's not really -- it shouldn't have coattails on other businesses we have a lot of digital businesses that control their domain and we might as well buy all of them at this point. it's looking chasy the market may go looking for something to worry about incrementally. i don't think the soft landing premise is going to be disturbed anytime soon even by a number that looks unfriendly. i think it's fine, more about short term tactics the median is about 3% from here it's good people are cautious but you'll need to find reasons why this can continue higher >> tesla, given the landscape of where we are, doesn't seem today to have the importance that maybe in the past it has to where the market might go especially the nas 100 stocks. >> it's no longer really where the energy is in terms of animal spirits are flowing. the stock is dead money f

fed executive -- as president, assuming the post on april 2 replacing james bullard who is stepping downof purdue university business school. he will become the first hispanic person to lead a regional fed bank. most recently served as the ceo of events asset management -- evince asset management. on the docket we have at tendon a.m. u.k. time the preliminary reading for euro area cpi, that is for december. there's also an italy reading do at the same time as we were just discussing with oliver crook. 1:30 p.m. u.k. time it is the u.s. nonfarm jobs report. 3:00 p.m. do not forget to watch out for u.s. factory orders and ism services. key indicators to the strength of the economy. coming up on bloomberg, former arrests and convictions to rallies. it is never a dull moment in the crypto space as we await a decision from the sec. stay with us for that conversation. this is bloomberg. ♪ >> what has happened is those risks still are present. the yield curve is still inverted. this is one of the longest 10 years -- tenures of yield curve inversion since the early 1940's. it is really problemat

. >> look what bullard said yesterday. he is retired now but this is a person who is pretty hawkish suggesting we will cat before 2%. not that this is a new thought but it could come as early as march even as the market started to talk itself out of march and even price that out. >> i don't have a problem as long as i figure out when to get out. that's the problem with melt tops is that they lead to meltdowns. it's not up to me. it's up to the market and the money that's in there. i think they would be making a mistake to lower interest rates. stock market forces, if it keeps going up, it creates a positive wealth effect and it creates the potential for inflation to make a comeback. the middle east is boiling and that could create a 1970s scenario. it seems in the 1970s, the 1990s or in my case, i'm hoping it will be more like the 1920s. except for 1929. >> you are alluding to the roaring 20s. you don't want to have '29 or 2000. >> correct. >> in terms of a melt up that ends very very badly. >> all i can do is just kind of

lisa: you know who agrees with him, jim bullard, former member of the fed.rates before we get to that 2% target in inflation and that cuts could come as soon as march. he wrote inflation on a corm on the basis you could get by 2% by the third quarter of the year. this is tricky because the fed doesn't want to get into the second half of 2024 and inflation already at 2% and you still haven't move the policy. that would be too late. suddenly he is a dove after being a hawk. jonathan: his was the dot at the very bottom. i love hearing about officials because they are honest about how they feel and not guarded. lisa: you feel they are paving a path for the march rate cut even though some believe that will release another round. jonathan: you don't need to worry about checking out market expectations. you are not going to move markets like you use to. lisa: not going to hear anything from your colleagues. jonathan: kathy jones joins us now. michael keaton saying rate cuts. he was saying rate cuts in march. you think that's too soon? kathy: it isn't what i think t

replacing james bullard who is stepping down to become a dean of a business school. will be the first policymaker to lead a fed bank. still ahead, we will check in on energy markets as rising u.s. gasoline stockpiles signal shaky demand despite tensions in the middle east, the red sea and libya. we will get the latest next. this is bloomberg. ♪ hey you, with the small business... ...whoa... you've got all kinds of bright ideas, that your customers need to know about. constant contact makes it easy. with everything from managing your social posts, and events, to email and sms marketing. constant contact delivers all the tools you need to help your business grow. get started today at constantcontact.com constant contact. helping the small stand tall. haidi: islamic state is planning a response -- is coming responsibility for wednesday's bombings in iran. let's bring in michael heath and. we spoke about this yesterday as being you had mentioned the likely scenario. >> i don't think it is much of a surprise it was islamic state. it was such an indiscriminate attack. when

. >>> jim bullard, friend of the show, says he expects the fed to begin lowering its inflation ratesefore inflation hit 2/% he told "the wall street journal" cuts could come as soon as march he says the fed doesn't want to get into a bind by hitting the 2% p inflation without having moved policy we'll get the latest read on inflation on friday when the december pce index stayed up is due. is there anything even better than green >> white. >> you, my friend, are very comfortable in the yellow. i see you over there judging my orangeness. >> yeah. trump is orange. have you ever thought about that >> orange man. >> he's pretty comfortable you're bordering on orange at times, are you not people have seen it. viewers have noticed it. >> i've sat next to you for a long time. >> seeping osmosis. like watercolors seep in. >>> coming up, netflix stocks surge. bank stocks are higher after the country's central bank announced the biggest cut to the reserve ratio since december of 2021 we'll talk about whether now's the time to add china's exposure we'll talk about that at the bottom of the hour

bullard, an outlier, his dot plot was always unique.over the st. louis fed? bill: i do not have a strong view of alberto. i think he's going to take the information as he sees it and respond accordingly. what he brings to the federal reserve is the fact that not only is he a really good economist, but he understands markets. that combination of macroeconomic knowledge and market experience is rare in the federal reserve system. he brings a good rate toolset to the fed. tom: within the crush of the jobs report, we have to look at your spirited essay. not the fragility of our banking system, but just the idea of where we are going in 2024 and shoring up the supervision of our banks. are you optimistic we can get that important job done? bill: i think that it is clear based on events that happened last march. they need to be more forceful in forcing banks to remedy problems more quickly. one way i think to do that is to release some of these supervisory findings that are currently secret. if you knew that the supervisory findings would com