federal reserve vice chairman donald kohn giving the exit strategy today. steve is in washington with details right now. >> thank you very much. don kohn was speaking to a group of private sector and academic economists who follow what the fed is doing and critique it when they feel it's necessary. don kohn addressing the group and providing a little bit of counter to what was said last week by federal reserve governor kevin morse who talked about the fed coming in and his exit strategy being sooner and stronger. don kohn saying he doesn't know how rapidly the fed will be withdrawing its monetary policy but made a case for the, "exceptionally low interest rates from the fed for a period of time." here is what he said. >> activity still growing rapidly. that is not what was happening in the 1970s. wages are decelerating. that is not what was happening in the 1970s. that inflation expectations, long-term inflation expectations have been well anchored and that actual inflation, particularly core inflation, but even total inflation has been very low. to me, thes

we did have donald kohn who made it clear there was slack in the economy. traders take that to mean the fed will keep rates low for some time. take a look at big stocks here. dollar down. big stocks like commodity stocks, in particular, moved to the upside. freeport-mcmoran moved up here. it's been weaker in the last 15 minutes or so. same thing with the oil stocks, energy stocks. oil rallied on the weakly inventory numbers we got out around 10:30 eastern time. oil move up, dollar weaken. there are the energy stocks moving to the up side. where are we in the third quarter? take a look. we have 58 minutes to go here. 15.4% move in the s&p. best performance in 11 years. we'll see if we can stay there. as for what was the big movers and what wasn't, a huge disparity, unshally large disparity in the top four and bottom here. financials, materials and industrials. that's the story. everything else including consumer and health care, telecom stocks were only up 4%. you normally don't get this big a range in terms of the sector trade. tradertalk.cnbc.com. let's go

and the global economy and at 4:30 in the afternoon, fed vice chairman donald kohn will take place in a panel discussion in washington. and treasury secretary tim geithner will go before the comingal panel overseeing the t.a.r.p., testify background the government appears handling of the $700 billion financial bailout program. speaking of geithner, he will then take part in a special town hall meeting hosted by cnbc's erin burnett and steve leisman, answering questions from the audience about a whole host of issues. you can catch the show that's being called banking on geithner at 7:00 new york time, only on cnbc. and that is your global stock watch. christine. >>> coming up on "worldwide exchange," we will discuss the health of the japanese economy after machinery orders hit a record low. >> and it's rate decision day in the uk, as well. the bank of glntd is likely to keep rates unchanged. [ quacks ] >>> i'm christine tan. in japan, the latest data shows capital spending remains weak. >> and i'm ross westgate in europe. gm has made its decision on opel. a sealed envelope is on its wa

atlanta fed president dennis hockhart will be speak iing and fed vice chairman donald kohn will discuss exit strategies at 12:25 noon. there's a human number of these guys that are talking this week and everything is trying to figure out how -- >> people have heard of him. >> oub charles plosser. speaking last night, he's a well noted hawk, he told a pennsylvania audience that the fed has the tools to shift its policies when needed. he's not a voting member of the fomc this year. but he warned inflation will pick up more than some people think. mostly you'll see that in the latter half of next year. >> that sounds a lot like what we heard from marsh last week, the talk that got people really concerned about this. >> although he sounded like we thought we should do something earlier. but losser said very aggressive when they do start that. >> when this do do it 37. >> speeblging of recovery, it's warned that the global economy will be. rob wamton, the watt mart eo says walmart sees great potential growth in china and the company is just getting started when it comes to india. >> looking