he's been known as a hawk, eric rosengren, at least in the past. know what a hawk really means, as jon has talked about really times. however, he was slated to be a voting member next year. his removal early, what does that do to the composition of the voting members and what the likely path of policy rates could be? tom: because he is resigning now, there's a very good chance that they will have a new boston fed president in place by the time they would vote for the first time in 2022, so that won't change because it is not the president, it is the fed location, that rotates on and off the board. it will depend on who they choose. i am sure the next thing we are going to get is that they have hired a search firm and that they are going to look for the five people, etc., and we will find out in a couple of months. it is interesting because this all comes in the time of a diversity movement, and it will be interesting to see which direction the boston fed goes in . lisa: i'm looking right now at the market reaction. i don't know if this is something

robert kaplan has joined eric rosengren in early retirement.r scrutiny after trading last year. kaplan said the recent focus on his financial disclosures risks becoming a distraction. olaf scholz is calling on potential partners to join him in a new government as soon as possible. he appealed to the greens and pro business free democrats to back a three way coalition. armin laschet says he will try to forge a majority. allies say it cannot happen with a second-place finish. a trade meeting between the u.s. and eu will be narrower in scope. a joint statement said they are up in the air. france would not agree to the draft conclusion. facebook has halted plans for a special instagram platform for children under 13 after critics said it would be harmful. the social media giant said children were lying about their age to join instagram. facebook says it has not abandoned the idea but it is taking time to consult with experts. global news, 24 hours a day, on air and at bloomberg quicktake, powered by more than 2700 journalists and analysts in more t

. >> but, steve, how about the personnel move eric rosengren retiring. have the chair himself, one or two others whose seats have to be filled or announced in coming months, now all of a sudden a fourth? i think this could change the politics for the fed, right? >> yes well, part of it is that the fed, as you know, kelly, changes anyway, at least the voting members in the -- the president voting members will change rosengren was going to be a voter next year so we don't know who will fill that slot right now. there was a first vice president who will take over eric rosengren citing health issues saying he will resign cemen september 30th instead of planned june of 2022 when he would have to retire because of hitting the 65-age limit there he was also among those mentioned in the conflict of interest discussions we've been having regarding eric rosengren buying mortgage-backed securities while the fed was buying and making multiple trades in that he said as of september 30th he would sell but now he will be resigning. >> his replacement as boston fed, how

robert kaplan and eric rosengren quitting within hours of each other. is follows an embarrassing disclosure about their trading activities. kaplan sat down -- set to step down in october 8. rosengren, who cited health concerns, leaves at the end of this month. let's get more into these markets. thank you so much for joining us this morning. let's start with this changing of officials at the fed. do you foresee this really changing the shape and the pace of tightening to come from the central bank? >> absolutely, it is interesting, the context of who votes next year on the fomc. we had some concerns that they were leaning in a more hawkish direction next year. the resignation of these two officials could alleviate some of those concerns in terms of the growing hawkish nest of the voting members. that said, the fed officials yesterday and even in the recent meeting, they pretty much made it clear that the bar to commence tapering is all but met when you look at inflation, when you look at employment. so we are pretty sure to get that beginning soon, perhap

robert kaplan has joined eric rosengren with retirement.e recent focus on his financial disclosures risks becoming a distraction. it was confirmed that rosengren will retire due to an ongoing health condition. and one item is narrower in scope. results still up in the air, with disagreements among eu countries about changes. also, a lack of agreement with the technology meeting planned for wednesday in the u.s. the white house is refusing items with a huawei release and of two canadians accused of spying. they do not refer to the episode as a prisoner swap. there were no questions as to whether china would be encouraged to seize foreign hostages in the future. japan will reportedly list -- lift its virus state of emergency from friday as new infections received. one broadcaster says regional authorities make a -- keep some restrictions in place. more than 50% of the japanese population is fully immunized. and a prime minister's term in office, a replacement selected on wednesday. global news, 24 hours a day, on air and on bloomberg quicktak

so both robert kaplan of the dallas fed and eric rosengren leaving the federal reserve.quickly thank you very much. we still see a slight gain for the dow up 66 points but as we break that news, we do have the s&p down 12, nasdaq lower by 78. that is going to do it. as we hear the closing bell for "the claman countdown." [closing bell rings] i will see you tomorrow. "kudlow" is next. thanks very much for joining us. we have a big show tomorrow. don't miss it. ♪. larry: hello, everyone, welcome to "kudlow." i'm larry kudlow. save america kill the bill but we still don't know exactly what's in this bill. for the latest let's go to hillary vaughn live from capitol hill in the swamp. good evening, hilly. reporter: larry, there is a lot stuffed into the social spending package but a lot leaves the price tag a mystery. the cbo has not offered their score how much these things will cost but they're pricey,

>> i'm not cool with it and i think it's important to tell viewers that eric rosengren and kaplan astocks admitted to saying that is the potential optics of it. it could be bad, and optics matter if you are a fed official and you are trading, buying and selling stocks and other securities that are tied to interest rates correlated to interest-rate movements when you make the decision on interest rate movements and you know what the decision will be prior to the public. if that's not insider trading, i don't know what is. charles: then, you look at these career politicians and it's a shame, i mean, they have been there 20, 30, 40 years and somehow they come out millionaires and their spouses make millions. we see their trades, i mean, they are buying calls and options getting ahead of the spending bill. it's hard not to believe that you load up on a ev stock and you won't put a lot of ev spending in the spending bill or when you load up on nvidia you won't put something in the bill that pops up in nvidia. why can't we get that curved? >> retail investors are outrage and that's why peo

was the subject of a conflict of interest stories last week so eric rosengren, boston fed presidents years of his career he was praised by fed chair jay powell for his service. >> stepping down this week >> i guess that is this week, yes. yes, instead he had said -- he had said everlyier, becky, that he was going to sell all of his individual stocks as of september 30th, and not make any trades while he was fed president, but now september 30th, instead, is his resignation day. >> one quick question. we do have yellen and powell, who will be speaking before congress this week anything we should be looking out for? >> well, i think both of them will get pressed on this issue of the potential government shutdown on the one hand, how yellen -- yellen will be pressed on how long she can hold out before the treasury can't pay bills anymore, but i think powell will be pressed on how the fed responds there was an interesting story in "wall street journal," about potential actions the fed can take when the treasury can't pay its bills. there's a plan inside the fed, even though they don't li

now, eric rosengren. it's going to be a very busy couple of months for the biden administration to choose who is going to stay, who is going to go, and now the regional banks are starting to lose people in that will raise the issue of who votes on what next year and what they think. guy: yeah, it's another layer of complication on top of a fairly complicated picture for the fed. mike mckee, thank you very much indeed. we will see what happens with the chair, of course. politics, democrats heading for a short down -- showdown this week over the biden economic agenda with a planned vote on a 500 $50 billion infrastructure package. our bloomberg correspondent joins us now. does pelosi have the votes? >> she clearly didn't have them for the day, which is what the chair told cnn this weekend, saying there will be a vote on thursday and the measure will be brought to the house floor for debate starting today and the democrats will be meeting at 530 p.m. starting today, kicking off a very, very busy week. what i

initial disclosures of eric rosengren lists four real estate investment -- multiple purchases and salesboston fed says the trades were consistent with the systems strong ethics rules. new york has banned the sales of gas powered trucks starting in 2035, joining california in the most aggressive plan to cut greenhouse gas emissions. all new passenger vehicles sold or leased to the state will have to be zero omissions. the bill also culture medium in heaven the -- heavy duty vehicles to comply by 2025. the gaetz is taking control of the four season. the travel sector will rebound due to a pandemic induced swap could -- >> cascade will pay $2.2 billion in cash to boost its share to 71% from 48%. global news, 24 hours a day, on air and on bloomberg quicktake, powered by more than 2700 journalists and analysts in more than 120 countries. >> chinese adrs tumbled in the year accession after chinese video game makers were summoned by regulators. ne-yo unveils the biggest u.s. fundraising plan. for the stories, let's bring in stephen engle. let's start with online gaming. what happened? >> no on

policymakers as accountability comes under fire in the week of trading activity revelations for eric rosengren robert kaplan. with us is international economics and policy correspondent michael mckee. both have taken what you may have called corrective action, pledging to sell everything by september 30, but are you surprised by this move? mike: not at all. the ethics rules that they had allowed these loopholes. presidents and vice presidents are in theory subject to the same rules as the board. they allow to something that was not illegal but didn't look very good. one would expect them to tighten that up. kailey: technically, they follow the rules, but they -- we are in an unprecedented time of monetary policy, so should the rules change to go along with that? mike: they will change the rules and make it tighter, maybe ban trading, and i suppose could go as far as blind trusts. they will take this out of the equation. in either case, it appeared really that kaplan or rosengren were benefiting themselves. they were making the arguments that were going against their book, as it were. but you d

. >>> and robert kaplan and eric rosengren will sell the holdings over the concerns of trading last year. fed heads say the difficuvestits will be comel kcomplete by the f the year the two pledging not to trade stocks anymore while serving in the current rules. we're back after this. money ma) how do your clients know that? (naj) because as a fiduciary, it's our responsibility to always put clients first. (other money manager) so you do it because you have to? (naj) no, we do it because it's the right thing to do. we help clients enjoy a comfortable retirement. (other money manager) sounds like a big responsibility. (naj) one that we don't take lightly. it's why our fees are structured so we do better when our clients do better. fisher investments is clearly different. (vo) introducing 48 square centimeters of earning potential. flawlessly designed. undeniably versatile. unlimited 2% cash back. this is the card built for... ...real life. (dad) she's gonna be a drummer. (cashier) yeah she is. that's gonna get loud. (dad) right? (vo) the new wells fargo active cash visa credit card. unlimi

boston fed president eric rosengren set to retire september 30th he's headed the bank for the past 13 years. he said he would step down for health reasons he announced as he candidate for a kidney transplant. he imagined to retire in june 2022 disclosure forms show he made 37 trades in recent weeks last year the fed was buying billions of dollars of mbs powell may well face questions about these conflicts tomorrow including his own ownership of individual bonds which he owned before the fed last year began buying munis in his testimony, powell will say that he sees upward pressure from supply bottle necks they've lased longer than expected and there's potential upside risk inflation from these bottle zmeks other supply constraints. the fed would respond to higher sustained inflation if it became a serious concern, powell said on the economy strong growth is expected in the second half of the year. in some industries, he said supply constraints may well restrain activity. labor market conditions, he says, have continued to improve. melissa? >> september 30 seems like a key date that wa

boston fed president eric rosengren announcing that he will sell all the individual stocks he owns by september 30th and reinvest the proceeds into diversified index funds or cash savings. he says he will not trade in accounts while serving as fed president of boston. he says the investment decisions he made last year were permissible, but he's addressing this issue to avoid any appearance of conflict obviously, this story comes after disclosure that robert kaplan, the dallas fed president, was involved in, pardon me, multiple trades in excess of a million dollars over the course of 2020 and boston fed president also involved in a series of trades involving a whole matter of stocks, dow, alibaba, at&t owns a bunch of residential and other mortgages. verizon. most of his trades, however, are much smaller than robert kaplan's all listed between 1,000 and 50,000, but they were at least, i'm looking at the form now. 50 purchases and sales for stocks during the year >> 50 transactions during one year steve, i'm just curious. you interview fed officials all the time and during the jackson h

financial disclosures, finds three who last year held assets the same time the fed itself was buying eric rosengren made 37 during 2020 the fed last purchased almost $700 billion last week he would sell these positions and stop trading while president. dallas fed president, robert kaplan actively traded millions of dollars in stocks he said he would take the same action as rosengren. made sure his personal savings and invs.ment transactions complied or permissible under fed ethics rules jay powell held between one and a quarter and 2.5 million in muni bonds they are just a small part of his portfolio. they were held while the fed bought $21 billion in munis. a spokesperson telling cnbc that powell had no say on the investments in his family's trust. an officer determined these holdings did not violate ethics rules. fed president thomas barken held 1.3 to 3 million in corporate bonds purchased prior to 2020. he held these bonds while the fed bought 46.5 billion in corporate bonds. he had no say over individual bond purchases by the fed. these holdings or trades do not appear to be barred by fed ethi

robert kaplan and eric rosengren say they are selling all their stock holdings by the end of the monthd ethical concerns about their trading activity. the fed presidents released near identical statements after their financial disclosures showed investments in stocks and other financial instruments. u.k. wholesale electricity prices surged 2300 pounds as europe continues to face an energy crunch. the peak was more than 10 times the price seen the following morning. low winds are exacerbating a lack of natural gas supply across the continent with record prices in spain, germany, and france. global news, 24 hours a day, on air and at quicktake by bloomberg, powered by more than 2700 journalists and analysts in more than 120 countries. anna: coming up on this program, christine lagarde says the ecb is not tapering. ♪ >> the rebound phase and the recovery of the euro area economy is increasingly advanced. inflation increased to 3% in august. we expect inflation to rise further this quarter. but to decline next year. new stock protections force the underlying inflation at 2.2% in 2021. see

robert kaplan and eric rosengren say they are selling all their stock holdings by the end of the monthd ethical concerns about their trading activity. the dallas and boston fed presidents released near identical statements thursday after their financial disclosures and showed investments in a variety of stocks and other financial instruments. both said they will invest the proceeds in diversified index funds for cash. the slowed the pace of its bond buying program slightly and what president christine lagarde insisted was recalibration that does not herald a wind down in melissa. the bank will conduct purchases at a moderately lower pace and roughly 80 billion euros a month , citing the economic rebound. officials left rates on hold and raised the ecb forecast for 2021 growth and inflation to 5% and 2.2% respectively. >> the lady is not tapering because what we are doing is recalibrating, which i will remind you is the pandemic emergency repurchase program. vonnie: oil backtracked as investors honed in on china's decision to reopen crude reserves. beijing says it released oil from its

president mary daly becoming the first president to talk to reporters after those resignations of eric rosengrenert kaplan. she says that the fed wants to ensure that they are transparent in their processes and the fed is committed to getting this right. and she means the review process and the disclosure process at the fed. she says the federal reserve needs the trust of the american people to do our work. specifically addressing these issues, daly says in terms of the rules and whether they need to be changed, that is clearly the case she goes on to say we disclose our information on a regular basis, and people are saying this is not sufficient daly backed changes that may be coming for the review process initiated by fed chair powell. on policy she says she anticipates the federal reserve will meet the, quote substantial further progress test by the end of this year for tapering and that the fed -- does not envision the fed raising federal rates in 2022. i expect we'll hear more additional testimony from jay powell >>> still to come, our interview with the woman who rose to the top of one of

stuart: you have got news from boston fed president eric rosengren. i don't know what the story is.tiring nine months earlier than predicted. he was supposed to retire in june but happening shortly. he is one of two fed officials actively under fire trading stocks while helping to set monetary policy. rosengren and kaplan. rosengren said he stepping down but qualified for a kidney transplant. but i think the timing is also right. he is under fire for the trades. he is 64 years old. stuart: they're allowed to make the trades. that is not a problem. kind of looks bad. lauren: powell was asked a lot of questions at the press conference about that. that is a very bad look. the timing is right. june mandatory retirement after 35 years in service. stuart: national guard troops have to fill in at bus drivers. now they could be called to work in hospitals in new york. we'll tell you why it is becoming so difficult to staff hospitals in new york. >>> john bolton warns that the taliban could get their hands on nuclear weapons. kt mcfarland is on the show. she will discuss that with us. >>> re

eric rest send rosengren is out apparently with health issues. jay powell was shocked schorked over stock invests. >> i think it is still a huge factor. they're going to continue to drag their feet. they're insisting on transitory inflation. maybe they believe transitory is measured in years, not months. i don't know what their definition of transitory is but i think that is by design. they want to have an exit velocity from this recovery that is just massive and that may mean you know, four, 5% inflation and zero to 1% overnight rates. charles: all right. we'll see. maybe they will start measuring it in leap years. we'll all be bullish. gary, phil, jack, thanks a lot, appreciate it. >>> i like to bring in energy and materials strategist, tracy shugart. tracy you've been bullish on oil stocks. you've been on week after week, stay the course, folks, they are going to take off. they're taking off. where do we go from here? >> i think this is it. this is our next leg up higher xlp, oih, held 200 day nicely and bouncing significantly. we have the nat