what will mark carney do?ere more slack in the market to keep on building productivity, keep on hiring. unemployment level falls. unexpected. mark: the former bank of england positive datasays from the u.k. should signal a start of a rethink of interest rates. >> i think the markets have become too relaxed about u.k. interest rates. perhaps when we see a move from the fed, they may do a reassessment. been.k. economy has growing pretty well. on a planet has come down. we will see some updated unemployment data. we have wage growth picking up if you look at the three-month rolling average. rough gotround pretty employers reporting to the bank of england the highest level of recruitment difficulties they have had for 10 years. so, i think the u.k. economy is in a position where you really should be thinking about rates. ,ark: joining us now bloomberg's jennifer ryan. richard jones. jennifer, let's start with you. what jumped out was the average weekly earnings excluding bonuses. 2%. expectations were for 2.3. the

i can logically make reason for why carney is doing what he is doing.rill lynch is to with us as well. what is your two cents into this debate? we hear a lot more about macro prudential policy. the idea is to keep rates low. is that the way you read things? economies, they are in advanced states. as long as inflation is low in the u.k., the intent for carney is to make sure the pound does not follow the dollar higher. she can afford to do that. there is a consent about the housing market here. bying to address this emphasizing micro-prudential measures. she wants the bank of england to be closer the ecb rather than the fed. depends on how you phrase it. many people say the fed rate hike is price by the end of next year which is too late. it is not that far from what will happen. it may happen a little bit earlier. we are expecting a dovish tone from the bank of england. abouthe bank has to think number of thanks. we're looking across the channel at a eurozone economy that is growing but not going anything needss fast enough as it to be. there is a major

congress doesn't do that. carneye head of the bank of england, a canadian that has a job as the head of the bank of the bank of england, has created on behalf of the g-20 an organization which i am lucky enough to head that is going to collect data on who is doing the polluting con on a comparable basis and make it disclose a bull. once that happens businesses are going to have to clean up their act because they have stockholders who say we don't want to run any risks. stop this pollution or we will value your company less than others. they can turn to governments and say this other city, this other country, people are living longer than us and this is why. if you have the data, that is an now i think to get people to act. >> the first signs of a new cotton crop nudging through the rich soil of the liverpool plains. the water retention ability of these soils is like no other anywhere. ofs farm is on the frontline a battle between the potential dining room and fading mining boom. underneath the high-quality soil is hi

do you mean to say, thank you, mr. carney, and thank you janet yellen?een helpful. theave had big wins in corporate sector, management, share buybacks, lots of things that have helped drive eps growth. basics andgo back to using investment to drive economic performance. equities should be used to drive economic growth and business growth. it should be put into companies to help them grow. what we see his equity withdrawn from companies, which is hindering that growth. tom: we will continue this discussion on bloomberg radio. dominates sara -- davide serra is with us. what an interesting conversation today about where we are going. to me, the backdrop is lower nominal gdp. if -- is the united states becoming a europe? are we getting not so much the negativity and euro sclerosis, but since the dampening effect of lower sustained growth? plateaus indp productivity, growth cannot diverge massively. you see that with china. today everyone percent of china growth equals 2.5% 10 -- today every 1% of china growth equals --provide percent growth there are interco

according to this main measure, we shouldn't be doing any kind of cyclical capital raising at all. manus: it was a carneyt. james: it has to do with a very low interest rates -- we are on some measures -- on one measure, mortgage rates and house prices to income terrify, but on another measure, house prices to mortgage prime ins are as cheap as they have locked since the war. a lot of big distortions to deal with and this is another one. manus: great to get your take. i'm sure there'll be much more to come from the bank of england. jams ferguson. thank you for joining us next, as the leaders call for new climate markets, a tax on carbon. how high is the climate companies agenda? we bring you the surprising data compiled by bloomberg, right here on "the pulse." ♪ manus: welcome back. this is "the pulse." we're live from london. time to check in on the markets. the stoxx 600 just dipping into the green. all the london banks passed the stress test, hurrah. we had our purchasing managers index come off the 16 month high, but still demand is looking pretty perky. euro-dollar trading at 105.95. as you go towar

carney says that mike bloomberg will be doing a voluntary program, but then there is this thing -- shoulde do it, they are not doing it. all of a sudden, you have momentum toward climate change. all about numbers. the ability to look at companies and say this is what this person is doing, let's compare to someone else. saying the owner has a good idea, but really it was carney who began this. the particular push on transparency, trying to remain as neutral as possible, the idea behind this task force is not to say lets in this particular group of people. it is to say, here is the information, you as investors can make the choice. this is a continual element of risk. if you have the measurement and the action to do it, there is a construction game theory of everybody gets on board. john: i think the game very analogy is rather a good one. if you have numbers -- think about it. every morning you come in and you want to see what things are. things to do with climate change in companies, there is more hot air then there is arguably in the atmosphere. companies are always saying that we have m

what is that do for carney? he is caught between the two. he has janet yellen and mario draghi. at does this do for the bank having with? went.y giving -- bank of england. steven: i would argue there is more pressure on the bank of england to hike then these -- then the fed. is problem for mark carney clearly, he does not want to preempt the fed. there is no way he would have wanted to have been forced to hike ahead. the fact the fed is likely to go in december means he is free to go now, when he needs to. we would argue he needs to move much quicker than what the market is pricing. may, 2016 isg for the first bank of england rate hike. it is a long way away with the market is currently pricing and. -- in. by then we will have already gone. anna: thank you very much. jamie, thank you very much. manus: let's get to what is on the day ahead. 7:00 a.m. we get the german factory orders. at 9:00 a.m. it is all about the oil and opec kicks off its opening session. anna: then at 1:30 we get the u.s. jobs report. will have further analysis of that. manus: it is decision they had opec, we

carney isor mr. raising rates, what it would do for the sterling. gives mr. carney more elbow room.rancine: thank you. coming up later, president obama will be speaking. the year andto with a press conference. look for that in the vicinity of 2:00 this afternoon. good morning, everyone. ♪ francine: welcome back. this is the view of the city of london. seeing no son. -- no sun. is: your architecture hideous. those are the two ugliest buildings on the planet. francine: i don't disagree with you. tom: i'm sorry. prince charles is right. vonnie: they are stunning. but they are stunning, look like a star wars movie. a right to congress to lift the ban on crude oil exports. in global oil prices below $40 a barrel. not a magicban is wand for the beleaguered u.s. oil industry. the actual impact will be fairly limited. tom: price matters. it is remarkable when you see what oil has done. i noticed gold off of the bloomberg terminal. look at stock gold. the commodity and implosion continues. you need analysis about where is the bid. within that, you have the policy mix on exports. francine: yo

do you -- joe: do you think that mark carney has had a culture shock issue? i think that's too strong. i don't know him personally, but from what i understand he is a clever, energetic, forceful personality, but you would expect that in the leader of a large organization like this. the way that he has handled the bank is that remarkable. withs certainly set about a lot of determination, but in the arena of the policy committee i didn't feel that that infringed on the institution, particularly. i certainly have my differences with the way he's gone about planning communications. we aree are -- joe: going to continue this after the break. stay with us. up, central-bank inflation targets keeping a lid on economic growth. we will discuss. i'm alex deal. "what'd you miss?" let's get to mark crumpton. mark: kentucky is ordering his marriageprepare new licenses that do not include the names of county clerks, an attempt to protect religious beliefs of kim davis and other elected officials. the order comes after davis spent five days in jail for refusing to issue marr

it yellen does not do it, she will be the least reliable person alive. carneynreliable boyfriend in england. if she does not do this, she would be the same. aboutket is concerned liquidity, december 16, 11 trading days left in the year, and you have to think about the bank balance sheets, certainly not what they were before. the levered community has been aghi by the post-dr trade. >> a high probability that we are looking at a recession in the next 12 months. i think the strong dollar is having enormous impact on u.s. production and businesses. and they are being competitively disadvantaged by an extraordinarily strong dollar. stephanie: let's get final thoughts from jack rivkin and bob michael. the economy is fine, i don't see a recession in the net 12 months. it will be slow growth. i look for accidents. just a google oklahoma earthquakes and think about that facility. oklahoma is now the leading state in earthquakes. erik: you are thinking oil storage accident. >> yes. >> if yellen and the fed get it right, and amy arkin expectations, you will see yields an

do they manage to transition? and is there a question about stranded assets as mark carney talked about in the last month as well that you won't have recoverable assets as well. >> and maybe too difficult to do but still there will be a need for it and i think it will be long-term. in the future we will have to have a little bit less of our economy linked to oil and gas and different new areas because that's more sustainable for the futu future. >> if we did go to an environment with less fossil fuels and got to a 2% increase in temperatures we're talking about $34 trillion at risk of revenues for hydrocarbon producers. 5.5 trillion in the gas industry and 5.8 in the coal industry. well people would say that would then go into cleaner tech and renewables as well. how optimistic are people around here? i would suggest on days one and two fairly optimistic. all the leaders rolled in yesterday. some are still around today but also lots of celebrated geologists around. and i asked whether he was optimistic this time around we would get a better deal for the planet. >> well, the statement made by the president of the unit

carney and his fellow policymakers left the -- joining us now, and david nolan. thank you. the boe said today there is no mechanical difference between what it does and what the fed does. do the markets believe that or not? david: not really, no. you're absolutely right. the boe is caught in the middle. once the fed moves, at that point, the market will bring .orward the likely timing and the boe, when they published a report on the fed rally, at that point, we will start talking about rates and the u.k. going up in 2016. mark: even as the market did feeble prices -- is that not a slightly more dovish tone or not? david: slightly more. i think the financial policy ministry is more interesting. i think they're concerned was they could be concerned about emerging markets, but also financial markets more generally. they want to see the fed go. mark: is the boe overly worried about emerging markets, global trade? it seems to be a bit split. the british chamber of commerce highlighted that yesterday. david, the fed has dropped its global concern. should the bank? david: the markets are concerned about economic growth globally. the fed is more about how fast trade is going. see

carney from the "washington examiner." tim, let's start with winning over non-college-educated voters. can ted cruz do it? >> i think cruz can do it just as well as trump and he's the guy to pick up those voters if they do start peeling off of trump. a large part of that is he rails against the washington elite, the washington establishment, which the republican party has long served mostly the business lobby, and cruz has been part of the movement to try to pull the republicans away from that, try to speak to working class worries. immigration is a major one. cruz is a very natural guy to take some of those voters away from trump. >> what about marco rubio? he's done better among college-educated white voters. can he siphon off some of those non-college-educated white voters? >> it doesn't seem particularly likely. what's interesting is how these poll numbers basically show that since the last debate, ted cruz has gone up and rubio has either flat lined or gone down. i think part of the reason for that is rubio is targeting his arguments to beltway folks and east coast media folks instead of to these un-

carney? the strength of the pound and what he has been doing to keep inflation low.will get a message that us similar to -- message that is similar to what we got on super thursday. i think they will not want to be too hawkish for fear they will's send the pound shooting hot -- they will send the pound shooting higher. fairly similar to what we had last month. manus: bob, one of the things that came out in november from the bank of england was the concern about emerging markets. we touch on this briefly. reprieve that is the scene and the emerging markets. not a huge amount of change in the economics. china has slowed down a little bit. they are concerned about more vulnerable sharper slowdown. do you think they will be outward looking? or domestic looking? bob: let's look at the domestic picture. your comment about sterling is right. there is a concern that sterling is still overvalued against the euro and other currencies than the u.s. dollar. minus 1.50lus or against the u.s. dollar. he is having a negative impact on u.k. export performance. the deficit in the u.k

do you think the currencies are functional? i look back at last year think, bank of england, we started to see carney talking.tribute factors. the bank will say that the oil price has been the bigger picture but effective. but they have a knowledge the fact that the pound has been strong. and this has had, made their goal to get their inflation target that much more challenging. guy: when we take a look commodities next year, critical for number -- a number of countries -- turkey, for example. when you look at the producers. russia, what is happening in the ggc, latin america. we need to see stabilization before some of those currency stocks turn. we are looking for stabilization in commodity ld providech shou support to the russian ruble and the brazilian real. guy: when does that come? william: it is impossible to predict. oil had stabilize earlier in the year. now it is closer to 35. could they fall even further? russia,untries like this makes the outlook difficult to predict. guy: do you think the 2016 rather than 2017 will be the year the people start taking a more positive view of the emerging markets?

do you see in the u.k. that will provide any upside for mark carney to deliver?land were focusing on wage growth picking up. that has disappeared. as long as wage inflation is under control it will be difficult. they will try to inflate in 2016, that perhaps later than we thought before. tom: is janet yellen going to in 2016, i europe wish you go discrete and domestic with the united states? james: i think janet yellen will have to go cautiously. we are in unprecedented austerity. you saw the chart from 5000 years, no one has tightened monetary policy with a balance sheet like this. she will go cautiously. she will look at the u.s. economy. with the ecb is doing in europe affects the dollar, the dollar-euro, and her strategy. tom: thank you. particularly the 5000 year chart . even i've was not around 9000 years ago when rates were higher around 5000not years ago when rates were higher than they are today. join us.el will this is must watch. james steel on gold. another hour of bloomberg "surveillance." ♪ tom: it is a flat 2015 for stocks, the new volatility under

carney. erik: we are close to the worst spot we can be in where -- because central banks do not cooperate inhey are starting to mess around with the one effect they should cooperate on, the exchange rate. in your, we are worse off because essential banks don't seem to coordinate with the fiscal authorities. we talked about it early on, in germany you have negative rates way out of the curve. the government says i have no idea. tom: the cyclical question. are negative rates substituting for currency adjustment of a time like the plaza accord? that is an 40 question. rates and thetive exchange rates have a lot of affect on the private sector. the policy does not want to move. caroline: how much farther can these negative rates go? five years? 10 years? erik: i guess, but how crazy can the world get? it is hurting the financial just sector.t tom: it kills retirees. erik: absolutely. the exchange rate is firm. you cannot go abroad and by thinking you can get an exchange rate for it here no interest rates -- negative hurts a lot. it has been going on for a long time. find a pension fund in europe

fellow chemical company, do you chemical and reaction to the layoffs from local politicians was swift. delaware governor jack markell says deeply disappointing. congressman carney, a punch to the gut. u.s. senator chris coons. >> i for the hard for them to have a great future in delaware. it is very upsetting at the this point. >> reporter: news comes just days after christmas and days before, the new year. >> you're talking about people whose grand fathers work and fathers worked. >> reporter: new year that will mean for many at dew point looking for a new place to to work. in that same statement du pont's ceo says those workers being let go will also receive a separation package, career placements services and training allowed. reporting from downtown wilmington rahel solomon for cbs-3 "eyewitness news". >>> u.s. led air strikes in syria has killed an isis leader whom military was actively planning an attack against the west. he was killed on christmas eve. officials say he a had direct connections to a booed the master mind behind the terror attack. >> we will continue to hunt isil leaders who are working to recruit, plan, and inspire attacks against the the

capacity and security to handle this new economy, ceo, lloyd carney good to have you on the program. >> thanks for having me. maria: why donet talking to cell phone a lot of date. >> we talked about important things, not that important right now your fridge knows i need more toasty but there are things that really drive data knowledge that help you better interact with customers first start you are finding, major banks major retailers getting better information on customers, drives data pools large pools more commission you have you put analysts toward it better you address your customers we own the storage space 10 sights mark share in high end storage,s. >> where does -- a unknown company that you trust 90% fortune 2000 on leading edge out there i think it is collecting more data driving more analytics softer base networking, and sort of base consumer interaction. maria: are companies paying for it we are having debate with global economy we know your last fiscal first quarter, view on where things people were word i that you know you are having a miss the federal slowdown you talked about, how strong really is the econ

carney this afternoon, mr. tonko. and mr. what mr. tonko says, we believe there was an error made somewhere. and that the powers that be, as soon as they get around to doing this, will want this done. if we could have some idea that we could get this on to the floor. is there an amendment? maybe we can do some good with it tomorrow is what we would like to see. but it's awful to leave this out. you mentioned geothermal. which is making a great comeback up in my part of the state. schools now have fuel cells and geothermal. we're building houses with it. and we shouldn't stop that great innovation and ability to explore that further. it would be very important to me and i think to most of the people from our parts of coal country up there. to have this go on. >> good. >> thank you. and thank you. >> thank you. thank you very much to the members of the committee. >> absolutely. >> and the chair. >> and i apologize. i did not see you slip back in. >> oh, i didn't. i came in about five miles an hour so that i could. and i knew you would be gracious to let me do that. thank you so much. >> she is good. thank you, gentlemen. >> thank you very much. >> appreciat

i do not think janet yellen is going to go just drive straight back to the old-fashioned 3%, 4%. tom: she ignored international events. around, mark carney this time she cannot ignore international events. bill: the path forward is as important as the first step to read the first step, if it is not in the market and if there are not hedges out there, then we have to tear up everything we thought we knew about financial markets. the real question is not what happens in nine days, it is what happens over the nine months, the next nine months, the next 18 months. it will be slow and sensitive and very responsive to international events. francine: bill, did you know it is tom's birthday? happy birthday, tom keene. tom: i am not celebrating my birthday until we get the two-year extrapolated back to its normal rate. that is 2026. it is not my birthday today. ♪ sure, tv has evolved over the years. it's gotten squarer. brighter. bigger. it's gotten thinner. even curvier. but what's next? for all binge watchers. movie geeks. sports freaks. x1 from xfinity will change the way you experience tv. tand that's what we're doings to chat xfinity.rself,

governor carney gave a speech where he talked about one of the long term risks to the market is climate change. potentially the reinsurance industry related to weather. do you share some of those concerns? i know you don't have much time. >> i thought it was an extremely interesting speech. i cannot say that i am aware of work that we have done looking at that. but i think it's something that is worth certainly worth considering. >> do you think you will be doing some work in that area? >> i will -- it's something we can get back to you on and have a look on. >> thank you. >> thank you. senator cruz. >> thank you. welcome. in the summer of 2008, responding to rise in consumer prices, the federal reserve told market that is it was shifting to a tighter monetary policy. this in turn set off a scramble for cash. which caused the dollar to soar cpi to to collapse and fall below zero which set the stage for the financial crisis. n his recent memoir former fed chairman ben bernanke said that the decision not to ease monetary policy at the eptember 2008 fomc meeting was in retrospect certainly a mistake. do you agree with chairman bernanke that the fed should

carney gave a speech two months ago where he talked about one of the long-term risks being climate change being a repricing of assets and potentially the reinsurance industry around risk related to weather. do you share some of those concerns? i know you don't have much time. >> i thought it was an extremely interesting speech. i cannot say that i'm aware of work that we have done looking at that. but i think it's something that is worth -- certainly worth considering. >> do you think you'll be doing some work in that area? >> i will -- it's something we can get back to you on, and have a look on. >> great. thank you, chair. >> thank you. senator cruz. >> thank you, mr. chairman. chair yellen, welcome. in the summer of 2008, responding to rising consumer prices, the federal reserve told markets that it was shifting to a tighter monetary policy. this in turn set off a scramble for cash, which caused the dollar to soar, asset prices to collapse, and cpi to fall below zero. which set the stage for the financial crisis. in his recent memoir, former fed chairman ben bernanke said the decision not to ease monetary policy was, quote, in retrospect certainly a mistake. do you agree with chairman be

carney is. they want to see how janet yellen explains the rates. themystery is how does commanding come together to explain the path? that will influence a lot of things. stephanie: we do what mario draghi said he was basically staying the course but not expanded? peter: he tried to have it both ways, showing consistency and doing anything. i think he is on the verge of discovering what the bank of japan has discovered. when you threaten infinity more than once, it does not really move expectations further. you cannot really top infinity. swiss bank manager did shock markets. stephanie: nobody thought they could afford to have a cup of coffee there. david: thomas jordan wanted to clarify that he does not take concerns about currency lightly. thomas jordan: the situation remains very difficult, so those firms who export or on the pressure because of competition, the situation remains very ,ifficult and overvalued significantly overvalued, and that makes a difficult situation. stephanie: the fundamental problem is europe is still feeling major pain. you are not seeing the plain vanilla investors seem great opportunities. they are distressed buyers. if we are saying thing