ctas are basically models. the model says trade come of than you trade.i think of the quick trigger cpas would have been selling s&p futures below 2600. coincidently are not that is where the market went into freefall monday. one of the reasons, and it is always an autopsy afterwords but the x iv volatility blowup contributed to the meltdown. i think we are going to find ctas were selling at the same time which is why there were no bits. -- a: joe: we have the report coming out next week. i think it is going to be one of the more watch data points we have seen in some time. which way is the way traders are leaning? pushing inreally that direction and there is opportunity for a snap down? >> if you wind up with a relatively high inflation imprint people with say we three out three head -- rate hikes. that is going to reverse the front end of the curve. you have seen two-year notes being bought a lot and two-year notes have gone down. that can reverse a lot if you get above expectations. all right, thank you for joining us. coming up, we spoke about volatil

the way she became to the prime minister is because she was a relu cta nt prime minister is because sheease which is basically if she were to go for a softer brexit, and i think the brexit camp at the moment being led byjacob brexit camp at the moment being led by jacob rees mogg, brexit camp at the moment being led byjacob rees mogg, they are brexit camp at the moment being led by jacob rees mogg, they are the type who would call for a confidence vote. ultimately it will go above her. last story on brexit. this is lord turnbull. he is aligning the naysayers with the nazis in germany. he is saying the attacks on the civil service are, if you like, following a pattern, which ultimately led to national socialism. i suspect that might be overstating it, but when you look at what is happening in the re st of you look at what is happening in the rest of the world, perhaps it is not. katy, what do you think about that? once you compare tactics with anything with the word nazi in it, you are into territory that is over the top. there is a growing problem between the civil service and the gover

apply effective pressure, given all the limitations and given the fact that many rohingya would be relu cta to go back, anyway? not locked, the answer. myanmar has been reeled in by china. china gives myanmar everything it needs — arms, medical supplies etc. so it doesn't really need the west? quite honestly, we are becoming redundant. justin whittle, author of the biography of 0lsen suji. a story thatis biography of 0lsen suji. a story that is ever—changing. thank you. a russian domestic passenger plane has crashed on the outskirts of the russian capital, with 71 people on board. it took off from moscow's domodedovo airport. russian media reported that the antonov an—148 plane was flying to 0rsk, a city in the urals, and crashed in the ramensky district outside moscow. russian news agencies say 65 passengers and 6 crew were on board. 0ur moscow correspondent, sarah rainsford, has been giving us the latest. it is early days, and all those things are being looked into right now. there doesn't appear to have been extraordinary weather conditions. the wind was like, according to the reports i'

paternalistic, not going in and doing things in these countries for them with an aid budget that we are relu ctawe are reluctant to give, it is using money extremely well, money that goes almost nowhere in the uk but actually can build a school or a well in a country overseas. a russian domestic passenger plane has crashed on the outskirts of the russian capital, with 71 people on board. it took off from moscow's domodedovo airport. russian media reported that the antonov an—148 plane was flying to 0rsk, a city in the urals, and crashed in the ramensky district outside moscow. russian news agencies say 65 passengers and 6 crew were on board. two moggies have so —— two bodies have so far been found at the scene. 0ur moscow correspondent, sarah rainsford, has been giving us the latest. it is early days, and all those things are being looked into right now. there doesn't appear to have been extraordinary weather conditions. the wind was like, according to the reports i've read. it is extremely cold, but there was no heavy snowfall, so no obvious reason for the weather to have caused this. whether i

that sets off a lot of ctas, commodity trade advisers to sell long positions or go short once you did you're within 20 points of the 200-day moving average. those two things happening pushing that through. >> 65 days in the purple >> and intraday in the white and they cross. >> exactly >> once the market got through that, it's easy to set off a lot of stops a normal place they would stop once we got through that, it cleared the decks. you didn't have any further selling. you didn't have the impact of the bond market or the european indices after 2:00 and it gave us room to run we're getting follow-through from that. we don't have a trend yet that's especially low we would like to see it below 2.5. all the sectors are up that's good news we rallied to the 50-day - >> you want to see it below 0.5 is what? >> means buyers are basically panicking. that sounds like a bad thing but it's a good thing. just the opposite. we saw sellers panicking this time last week we want to see this surge of buying we call it buying thrust below 0.5 is it. last time it was 0.65. it's not good enough you wan

david: ctas maybe a step behind after that volatility crunch last week. they got a bad reputation.peaks to want to get tied to a certain thing and become part of the political and pop-culture, you have shows like billions -- lisa: shows devoted to make you look bad. jason: exactly. you could see why they would want to do this. also, why a big endowment or pension fund might say, i do not know. user not hedge funds, these are risk premiums. right,shakespeare had it a rose by any other name would still smell as sweet. jason: exactly. and this is involved in the discussion at harvard. world's biggest endowment, and what are some things alumni are questioning is are we, harvard, getting too much money into active management, and could we do just as well if we were in index? david: which is our third story. a group of alumni got together, and they do not seem to be fund manager types -- jason: mike english majors. -- like english majors. ofid: they say to take cap your endowments, move it to passive, and this shows you harvard is far and away the biggest endowment but look at the return

it published a summary of the findings but mps have been pressing the relu cta nt but mps have been pressingto publish and a time scale within which to publish. 0therwise a time scale within which to publish. otherwise it will be the case that the financial conduct authority finds events overtake him. authority finds events overtake him. a copy of the full report was published on the internet. what it contains are phrases that neither the bank nor the regulator wanted the bank nor the regulator wanted the public to see including phrases like, "rope, sometimes you need to let customers hang themselves." another one, "grg management was aware or should have been aware. we view these issues as part of an intentional or coordinated strategy. it was this strategy that was the underlying cause of the poor treatment." the businessmen who first accused the bank of mistreating customers say those behind the scandal aren‘t being held accountable. the whole fca process has taken far too long. 0ver four yea rs has taken far too long. 0ver four years is ridiculous. but what‘s probably worse than that is

selling by ctas last week? absolutely. they came in long risk.wrong positioning last week. were they doing some reshuffling of positions? yes. did they cause the selloff? no. >> did the narrative exacerbate the selloff? buy whenswer is if you markets are going down, you decrease the selloff. technically, you increase it. why wouldn't you sell positions when the market moves? they are not doing it indiscriminately. the same as humans would do it. i would say history does not tell you that buying dips is the right answer. when volatility in the market increases, you should run less positions. can volatility is low, you run bigger positions. it is about taking the same amount of risk all of the time. >> some of what happened last week was related to volatility funds being overly aggressive. i think there is more of a regime change going on. from monetary stimulus to fiscal stimulus. we think that ultimately will transcend and go global. were talking to steve schwarzman earlier this morning and he said this level of volatility feels pretty normal. do

alix: jpmorgan had a note out that said we can blame last week on cta's or risk parity.idence in equity market if we come inside the bloomberg. this is consumer confidence expectation of a stock increase before the selloff at the end of january. it was around record highs. does retail come in and start to freak out? what stabilizes them? robert: i have been doing surveys of investors both retail investors and institutional investors since 1989. i don't do these daily -- up-to-date surveys, but the expectationst is for stock price increases have held off. the big change is that people think it's overpriced. that is almost the definition of a bubble. if you think the market is still priced to go and you are hanging in for that, that's a bubble. the question now is is the bubble over? is the bursting over? are we satisfied? a correction, which is supposed to be something good, i guess. it depends on your perspective. are we done with this cell spirit or not? -- sell spirit or not? i think it's an open question. david: let's talk about whether things really are overvalued. y

. >> i'll ask you something else, how big to ctas, etns, etfs on the market, it appears that retail investorsk and watched the machines do their work >> right i think this is an important thing. last week's selloff, 10% drop in the s&p 500 for example. it was actually the fastest 10% correction ever from an all-time high now the speed -- the fact that it happened is no surprise i think it's the speed at which it happened that has kind of grabbed all the headlines. now, everyone is talking about etns being to blame. and this is absolutely true. that part of this story, whether this huge amount of sell volume, when you get markets dropping sharply, algorithm trading systems have their stocks triggered which creates more selling and more stocks selling and so on. that's one thing, the volume that stepped higher. but the other key thing, that not many people are talking about, at the same time that volume is increasing, you have liquidity decrease this is the amount of orders on the order bookins of these markets. how quickly is will move is a function of the depth of the algorithm. they're no lo

that's today or tomorrow i still think there's an awful lot more flows to be enacted risk parity and cta have not done the dlef releveraging they to do. the biggest story is the risk aversion flows coming back into treasury has won't last long. i think you'll get a quite severe steepening of the curve and i think therefore equities will not enjoy that. you can see what could be quite an immense draw over the next couple of months >> let's bring in tom stephenson how soon do you expect that negative correlation that we've been talking about between equity and bonds to return what will be driving that? >> the important thing to remember about what we've seen over the last 48 hours is this perfectly normal thing what we've had in the last 18 months has not been normal you go back to 1920s, on average we had three 5% corrections in year, a 20% correction every three years. we have not had a 5% correction in the equity market for the last 18 months we point the finger, look at the bond market. look at the non-farm payrolls, we say inflation is coming back. these are all post rationalizations

cta trend the followers. >> this is about earnings, and it has been about earnings for the last week investors are saying maybe tax reform is not a great story for all companies. they are starting to really dissect that. that created a little selloff. that got investors spooked. >> we are getting some price discovery right now. i think this kind of selloff, this disorganized selloff, this will only go on before someone steps up and says there is an opportunity in the selloff, and it does not have to take that long. >> we did not think things could get worse. overall global equities from this time yesterday have lost $2 trillion in market cap. >> we are on the verge of markets getting a little disorderly. and you get central banks interested in regulators interested as well. >> the equities selloff extended to asia and europe after stocks in the united states recorded their biggest one-day drop in more than six years. credit suisse buying back one of its exchange traded funds, triggering losses on muted market swings. >> pretty interesting story. it has ironic element to it here -- al

the cta trend followers. >> it has been for the entire last week.y are looking and say in may be tax reform is not entirely a great story for all companies. it started to dissect after you that is what has them spooked. we have some price discovery right now. off kind of disorganized so this is only going to go on for so long. get worse. those people were wrong as we went into this morning. overall global equities from this time yesterday have lost $2 trillion in market cap. >> we are on the verge of markets getting a little disorderly. and you get central banks interested and regulators interested as well. >> the equities selloff extended to asia and europe after stocks in the united states recorded their biggest one-day drop in more than six years. credit suisse buying back one of its exchange traded funds, triggering losses on muted market swings. >> pretty interesting story. it has ironic element to it here -- all investment banks have been waiting for in recent months and years is the return of volatility. now volatility is back and the first p

>> was there selling by ctas last week? absolutely. they came in long risk. short the dollar. that was the wrong positioning last week. were they doing some reshuffling of positions? yes. did they cause the selloff? no. are they part of volumes going through the market? absolutely. >> did the narrative exacerbate the selloff? can you say they exacerbate the selloff, the downdraft? >> if you buy when markets are going down, you decrease the selloff. if you sell when they're going down, you technically increase it. why shouldn't you sell positions when the market moves? they are not doing it indiscriminately. the same as humans would do it. it is the thought process of whether you should be, -- everyone should buy a dip, which has become folklore in the markets. i would say history does not tell you that buying dips is the right answer. when volatility in the market increases, you should run less positions. when volatility is low, you can run bigger positions. it is about taking the same amount of risk all of the time. >> some of what happened last week was rel

hartnet, he is the general manager and ceo of the san mateo county cta as well as the chief officer of caltrain as well as the head of san trans. with that in his capacity as the head of caltrain. he is hear. welcome and thank you for coming to our chambers here in san francisco county. >> thank you mr. chair and commissioners. it is a pleasure to be here. we are happy to report on the status of our electrification project. i would like to thank you for the great partnership we've had in bringing forward improvements to caltrain. not just with the electrification project, but since its origination. we preserved rail service and developed a robust community rail service on the pennisula. the electrification project would not have happened without the team work and support of chair peskin and the board and the mayor's offers. we stayed together and united and with regional state and federal support, we've been able to move it forward. i would like to acknowledge also san francisco's own michael burns, who was chief officer of our electrification project and will be up until this end of t

four prime brokers that handle hedge fund flows, three type of strategies were major participants, cta, the type of hedge fund, risk parity which matches up multiple asset classes based on their volatility and, of course, volatility targeting, which is what you're seeing with the xiv there. jpmorgan wrote in a note to clients that the spike in voluntari volatility and they predicted yesterday that 2735 could be the level, that could cause computers to aggressively sell, which is what happened around 3:00 many on wall street say the market moves we've been seeing have plenresented a buying opportunity to enter the fray. it's time for humans to take back the steering wheel from the machines and buy, guys that could be some of what you're seeing today. >> i'm going to tread carefully with this question but i'll ask anyway i don't know if you know when they halted the xiv again but i wonder if it coincides with the sudden buying we're seeing in the market. >> dow is up 450, by the way, on our screens. >> it's been on and off halted all day. i would say the trading hasn't gone on for a few

i am shannon wells and i am the district 9 representative to the cta citizen advisory committee wells a resident right by the intersection of avalon and edinburgh. we ask you vote yes to a four-way stop. the accidents and near misses at this intersection including two pedestrian injuries and three serious collisions in the past two years make it imperative to increase safety at this intersection. if you would like to see there's a photo of the most recent one which was the last couple of weeks. the statements of avalon decreases visibility at this intersection and encourages speeding. also the parked cars make it very difficult for cross traffic and pedestrians to see on coming vehicles withouting the next. four-way stops being placed irregularly makes drivers actually unsure whether there's a four-way stop and i witness this behavior with my parents trying to drive through the neighborhood. right or wrong, drivers do approach the intersection from all directions and cross traffic drivers appear to assume it is a four-way stop when it's not, without really looking. i've seen this happ

i don't think the inflation scare or such, this is more a technical glitch, systematic strategies, ctas did start selling sort of yesterday midday that compounded as well. you had the volatility hitch and the gamma hedging dloez that overwhelmed electronic market makers we have this electronic liquidity when things get bad they pull liquidity quickly. that's similar to what happened in august of 2015. this happened in the middle of the day. in 2015 it happened before the market so it looked worse. but essentially the same thing happened. >> there was a great scene in the movie airplane which i won't get into but i happen to speak new yorka. let me synthesize what he just said he said there is no systemic risk here. it seems to be a two day event that could extend a few days more but we shouldn't be worried about the last two and a half days of trading. is that correct. >> basically that's correct. >> don't agree with him. >> he said basically, you are partly wrong. >> i think the volatility complex, the s&p complex, that is done. and that's probably the biggest punch to the market. you

it's about cta. cover trump's angle. remember, we have seen him now for months, it was months ago he was having those secret meetings at the white house in the middle of the night and trying to espouse the trump agenda. in turn, the democrats have become political and have gone out and talked a lot. there's been a lot of noise and a lot of reaction coming out of this investigation. in the meantime, you've got robert mueller coming out with more indictments. more guilty pleas. flipping more people. and doing his job. so all of this cucafany going on in the house investigation committee is really not affecting the mueller investigation. what the white house, what the white house and its allies are trying to do, is create an atmosphere so that people don't believe what comes out of the mueller investigation. >> and to ana's point, doug, from a political communications perspective, you think about what we were talking about yesterday, the president facing some tough questions about gun control, the future of his son-in-law i

he was probably a bit relu cta nt time. he was probably a bit reluctant to do this type of thing.and i think he enjoyed it. pick up the point when it became apparent to the rest of the group that he was missing. it became apparent to the rest of the group that he was missingm was towards the end of the night out. the group became dispersed around several bars. the group of 18 people that were going home, people at different bars and i believe amen realise liam wasn't there when they left. —— eamon. the assumption was that he had gone home was in another bar. and at what point did you realise there was no accounting for him? i can speak personally and say it was eight o'clock the next morning. some of the people came in and mention that liam was not there. he's not the kind of guy to stay out all night partying. let's give technology and mother go and we will try to speak to liam's. can you hear us try to speak to liam's. can you hear us now? yes, i can hear you. you are still in hamburg. what information, what evidence, what efforts are you being told about regarding font your bro

dani: if we are talking about ctas, they are very nimble.kes higher, they were put on short positions. we have seen it before. they exacerbate market selloff. generally, there has been a feeling of -- across managers and as a classes. we continue to see investors more worried about credit risks. that's only something they started being worried about in terms of equities. we could see these momentum headache positions change -- momentum heavy positions change because increasing volatility remains of the central banks supporting the market is over and you have to reevaluate your bullish holdings. more generally, the volatility is a carry trade. you will see a lot of carry trades get destroyed. one of them is the dollar. more downside there is probable. all right, peter, you will stay with us. head of rates strategy is with us. it is incredibly important to check out what is going on in rates and really, are they the tail that lacks the dot -- wags the dog. dani, it's been great having you. covering quant strategy on the bm. dani, thanks so muc

good for russia now to accent the problem that they had and somehow they have but there is still relu cta has agreed are clearly on the table and to turn the page and be good citizens, come back in the international community and be part of the group again. the other big talking point here is still the freezing temperatures. it has been milder today but fans at tomorrow night's 0pening milder today but fans at tomorrow night's opening ceremony will be given blankets and warm conditions. it promises to be a shivering start to these games. there is stark new evidence today of plastic rubbish contaminating the pristine wilderness of the arctic. animals are becoming ensnared in plastic waste while scientists say there are far more plastic particles in one litre of sea ice than in open water. they say they've found plastic pollution almost everywhere they've looked in the arctic ocean. 0ur environment analyst roger harrabin has been to tromso in the norwegian arctic. a warning that you may find some of the images in his report upsetting. plastic pollution is drifting to the furthest corners of

still really don't have a good answer although we're having discussions with michael daniel at the cta to find a scoring methodology to understand who is providing and who is not and hope those people who are a part of a particular program to account if they're not participating in a way that we think is useful. i think that's-- that's something that's going to be grappling with over the next couple of years and i think the other thing we need to do point to a lot of stuff being out there. we're taking a really hard look at what and how we push information. i know it's great to really broadcast information and there are certain avenues to do that and that's fairly effective, but we're looking at how can we make it more effective and more targeted so that you don't really have to go looking, you know, going looking is one thing and if you're really into it, which a lot of cyber folks are, frankly, how can we do it so that you really don't have to look. we can deliver something to you that is useful to you right away and we still aren't there yet, but we're having a lot of discussions wi

what risk parity accounts are how much of that has been unwound, and while i think if you look at ctas, they had their worth week ever, extreme positioning, and some of that has been unwound why were people there in you talk about a broken market, you couldn't look at the treasury curve and really know what because the federal reserve and the central banks of the world had smothered it over. you don't know what the market is telling you >> quickly, to ty's point, i'll say this the same machines have been taking the market higher now for if not months, for years, and we don't talk about it because the market is going higher we only use them as a culprit on the way down they're equally villainous, if that's a word, on the way up >> it is, yes. >> i disagree. >> why do you disagree >> 100% with what you just said. i disagree 101%. >> why do we only associate the word panic when we talk about selling? couldn't we -- >> i agree with you on that point. you're making two separate points i feel like i'm arguing two georgetown guys. here's why - >> who would i be in st. elmo's fire >> markets i

many of the trades blew up at this point weed a ctas, we had people involved in vix extrainichange ees. all the strategy combined to have a real mess in the first few days of february that's all changing now with the dow up 200 points. >>> now to rick at the cme in chicago. good morning to you, rick. >> good morning, carl. as i look up, i see the two-year note down a couple the middle of the curve is down three. and the former 30-year bonds are down four. so we continue to get a bit of flattening two days of tens down two to three basis points what is interesting is we hit the high yield for this cycle at 295 on a closing basis we have given up ground and are up 40 points for the year-to-date of charts on tens here's the year-to-date chart of hyg, shall we? the rates are moderating a bit and the market volatility is in theerer-view mirror. it is getting its sea legs back. as the tens minus the two. as credit as gotten less crazy, the curve is flattening a bit hovering at 61 basis points. if you look at what is going on in boons, very fascinating opening up to july of last year, boons

had to overweight their equity position, and that was a big unwind finally, it cascaded down to the cta world, where a lot are trend followers, had been long, and particularly for the last melt-up, so getting flat and turning around exacerbated that move >> how hmany of your survey respondents fit into those categories and are they done is there a sense of if there's more to come >> the survey respondents were the investors, not the managers. they wouldn't have had a direct exposure to it i think when you look at the way the market behaves, certainly the first two weeks, it was confined to vol stage. you didn't see the contagion you typically would. you didn't see a rally in gold or yen you have seen a little bit in the least week but they're in unit. >> what are they doing how are they repositioning >> if you're a risk parity fund, what you do is look at volatility, the faster ones tend to be to exponentially wait their time, so that forced a quick unwinding for them to rebalance. lower equity portfolio to reflect the higher vol the vol sellers are a little quiet quieter. >> people loo

guest: investors have to take into consideration -- i remember years ago seeing the orders from cta tradersat is not going away anytime soon. we have to factor that into our investment decisions. at the end of the day, what we are looking for is sustainable earnings growth, companies that continue to dominate the industry there in, and again, how much are you paying for it? all this has to be considered. david: catherine, thank you so much for coming on the program. you can catch all of those interviews, and gays you just missed that one with catherine, on our interactive tv function tv -- in case you missed that one with kathryn, on our interactive tv function tv . this is bloomberg. ♪ ♪ haidi: we are counting down to the open of markets in hong kong , over in shenzhen and shanghai, of course. we been talking about the resilience and determination of mainland investors. are we expecting that to continue? david: they already came in two days ago was record amounts, and came in yesterday with a fair amount as well. i believe it was the first time above a certain level in terms of th

sinn fein may be relu cta nt to northern ireland. the irish premier. it could drag on for a few more days but there is a sense both sides are moving towards some form of agreement. listening to arlene foster over the weekend, she was seeing progress had been made. the deputy in dublin stressed this week was a decisive move forward. there was a decisive move forward. there was a decisive move forward. there was a clear warning from the head of the civil service in northern ireland that unless there was an agreement, he suggested by february eight, then he would have to set the budget for the forthcoming year. that means a whole raft of decisions which may be regarded as political decisions, such as reform plans for the nhs, simply will not be taken. all the big debate —— spending decisions will be on ice for another year. that will focus minds and sinn fein and the dup so that both sides really do have to get some sort of agreement nailed down quickly. give us agreement nailed down quickly. give us your thoughts, there are lots of det

i was so relu cta nt to it was good, really good.t give it another try. the word impossible does not exist. and then i met miss milligan who literally changed my world. and his world. and he loves reading and spelling out words to you, he is doing so well. it is like a complete turnaround. it gives me a lot of hope. i have hope, ifeel happier, he is happier. i am going to be an inventor. i am going to make stairs so inventor. i am going to make stairs so if you fall down them it will not hurt. i so if you fall down them it will not hurt. lam putting so if you fall down them it will not hurt. i am putting cotton wool in stairs. we just 100% feel hurt. i am putting cotton wool in stairs. we just 10096 feel so much more positive. his time at the one was upjust more positive. his time at the one was up just before christmas, so they had little graduations, which was lovely. they showcased what he had done and how far he had come since he had been at the pru. we are so since he had been at the pru. we are so proud of you. it is amazing to

i think what we will find is the british government are very relu cta nt to british government are veryll find this uncomfortable because they choose a closer relationship with turkey, they are more concerned with their arms sales to turkey than bringing justice for people like nicolas. mark, thank you for coming in to speak to still to come — us government shuts down for the second time in three weeks as congress fails to vote on the budget. we get the latest on the situation before 10:30am. this week was tipped as the coldest week of the year in britain, with widespread snow and temperatures dropping as low as —6 in some places, but spare a thought for those competing in the winter olympics, where its expected to drop as low as —20. organisers are worried about those attending the ceremony which starts in less than an hour, as the stadium has not got a roof. you'd think winter olympians would be ready to deal with freezing conditions, but when it's that cold athletes can really suffer. to find outjust how cold it could get, simon king is with us from the bbc weather centre. and so is

he and macro cta funds. the overweight risk assets.ty spikes those algorithms has to have those assets. the individual when you see this kind of volatility it can damage psyche. we walked in with the best earnings expectations for the whole year. february has been all about one of what the fed goes too far what if inflation becomes problematic. what would change your mind. is there any kind of marker that you're looking for. inflation is the primary marker. the core inflation as a whole. it's still at one and half to 1.6%. >> i said that yesterday. maybe all of that cheap money from central banks they actually start going out and spending it. when mom and dad and brother and sister out there in the country the volatility continues throughout 18. certainly on a relative basis. you can't bet on stable markets at least in some of these exchange products. not that extreme low the extreme lower volatility that we have. darrell, thank you so much. sheryl sandberg in the neck against the president. silicon valley seeker uncovered. the client

this is not as quite as broad as the rally in january >> the fear is that the cta accounts and these risk accounts took over and they sold the market off, worried about the sniff of inflation and the ten-year they are responsible for rallying the market back so that could be the monkey in the -- >> they cut back and jump back >> she has a song. >> that's one of the oldest, best known songs "what doesn't kill you makes you stronger." >> she is fantastic. that's her most well-known song. >> what about the guy that does the dr. pepper commercial? >> i don't know who that is. is that the "american idol" guy? >> yes >> steve brasso is our guest host for the hour. >> what do you think is going on with the market? how seriously do we need to take inflation concerns >> a few of these hedge funds did get caught in the vol trade. so for the near-term, i think that trade continues to unwind the 3% lid is on the ten-year. >> you think it is a lid >> yes over my 25 years on the street, you continue to see technology and other parts of the economy temper inflation fierce. >> so you would be a buye

it shows how relu cta nt the first place. it shows how reluctant people are to come forward.reassure complainants, potential victims who want to come forward, that people will be properly punished. thank you very much. the vast majority of local councils in england plan to raise council tax in april. it means the average bill will go up by £40 as local authorities try and raise more money. andy moore is in our london newsroom. andy, what is the reason behind this rise? talk is through what they are saying. this is an annual report on the state of local government finances. councils say the demands on their services are going up all the time. the amount they get from central government is growing down. 95% of councils say they intend to put up council tax. that is the highest figure since analysis was started in 2012. 93% of them say they will put up their charges. despite putting up those charges, 80% of councils say they fear that their financial stability. what does that mean your council tax bill? the is 6%, the maximum it can go up. if you are a council taxpayer, you pay

, and we want to make sure we reach all smokers, particularly poorer smokers, who perhaps feel relu ctacotine, but it is not the nicotine that kills, it's the other thousands of smoke constituents that come with it. smokers that struggle to stop, and the addictiveness of nicotine depends on how it is delivered. so it depends on the speed of delivery, the dose and what comes along with it. e—cigarettes are a much less harmful form of nicotine delivery. smokers really struggle to stop. they have tried many times, they have tried different things. actually, the people but doctors are see you will be predominantly made up see you will be predominantly made up of smokers because they are often very sick with the early smoking related diseases. it is really important that health professionals help those smokers in particular to stop. lots of people getting in touch, helen makes the point of saying," we don't know the long—term effects of vaping, surely it is better to help people break the pattern of addictive behaviour, rather than reinforce it." what do you say to that? that is a concern th

but because we're in a higher vol environment, do you think that there will be systematic selling by ctas other funds? >> sure. i don't know if you have necessarily seen the lows in the stock market today that very well could be the case we could get some added on selling from those sorts of funds here today, but i would expect the lows to be pretty close. >> yes. >> certainly volatility is in sales. >> interesting we mike coarse up. >> very possibly could. >> jim, thank you. >>> when we come back, market watcher ken scfiher will join us right now dow futures down by 625 points stick around, "squawk box" will be right back. your an amazing machine. especially when inside another amazing machine. the lexus es. with standard technology like lexus safety system plus. the lexus es, and es hybrid. experience amazing at your lexus dealer. >>> welcome back to "squawk box", everybody. take a look at the futures this morning. right now the dow futures are down by 637 points below fair value. s&p off by 57. the dow closed down by 1175 points we have been in the red all morning long, but the swing h