hikes in the current tightening cycle clearly some of the more devilish people on the federal open market committeeand others that would prefer interest rates to stay low or would rather that neutral rate be a lot closer to two percent and president trump is made it pretty clear that he thinks rates should stay low but you know that comes from his perspective right the president comes from a real estate and business and so of course he likes lower rates we'd all like to buy things that cheaper rates but what are the reasons the monetary policy reasons danielle not to raise rates. well there are reasons not to raise rates if you if you fear that the economy is slowing and powell brought that out in his speech today that and naturally that came out in the minutes from the federal open market committee that were released on wednesday as well that there are several threats to the economy that could indeed put the fed on hold make them pull back from the tightening cycle perhaps go in september but but pause it in december and maybe not go again until january until they have a little more clarity but we

hikes in the current tightening cycle clearly some of the more devilish people on the federal open market committee and others who would prefer interest rates to stay low or would rather that neutral rate be a lot closer to two percent and president trump is made it pretty clear that he thinks rates should stay low but you know that comes from his perspective right the president comes from a real estate and business and so of course he likes lower rates we'd all like to buy things that cheaper rates but what are the reasons the monetary policy reasons danielle not to raise rates. well there are reasons not to raise rates if you if you fear that the economy is slowing and powell brought that out in his speech today that and naturally that came out in the minutes from the federal open market committee that were released on wednesday as well that there are several threats to the economy that could indeed put the fed on hold make them pull back from this tightening cycle perhaps go in september but pause it in december and maybe not go again until january until they have a little more clarity but we kn

hikes in the current tightening cycle clearly some of the more devilish people on the federal open market committee and others who would prefer interest rates to stay low or would rather that neutral rate be a lot closer to two percent and president trump is made it pretty clear that he thinks rates should stay low but you know that comes from his perspective right the president comes from a real estate and business and so of course he likes lower rates we'd all like to buy things that cheaper rates but what are the reasons the monetary policy reasons danielle not to raise rates. well there are reasons not to raise rates if you if you fear that the economy is slowing and powell brought that out in his speech today that and naturally that came out in the minutes from the federal open market committee that were released on wednesday as well that there are several threats to the economy that could indeed put the fed on hold make them pull back from this tightening cycle perhaps go in september that but pause it in december and maybe not go again until january until they have a little more clarity but

numbers of four point one percent the federal reserve's open markets committee meets tuesday and wednesday and what are they discussing and what can we tell you about it here to help is the c.e.o. quil intelligence and the author of fed up why the federal reserve is bad for america daniel de martino book danielle thank you welcome it's always the u.s. economy has accelerated that four point one percent growth rate in q two and that's the quickest pace and twenty fourteen and president trump has and should rightly claim some victory for his policies and when we look at growth in light of the f o m c meeting today and tomorrow in washington what are the metrics that the governors are going to be considering. well i think that they're going to be trying to figure out what happens on the other side of this great big report will we see sustained growth of this level in the quote in the third quarter that we're currently in you know two tipped on the plus side we have indeed seen inventories run down dramatically which was a surprise in the second quarter g.d.p. report one of the reasons that so

numbers of four point one percent the federal reserve's open markets committee meets tuesday and wednesday and what are they discussing and what can we tell you about it here to help is the c.e.o. of quill intelligence and the author of fed up why the federal reserve is bad for america daniel de martino both danielle thank you welcome it's always the u.s. economy has accelerated that four point one percent growth rate in q two and that's a quickest pace and twenty fourteen and president trump has and should rightly claim some victory for his policies and when we look at growth in light of the f o m c meeting today and tomorrow in washington what are the metrics that the governors are going to be considering. well i think that they're going to be trying to figure out what happens on the other side of this great big report will we see sustained growth of this level in the quote in the third quarter that we're currently in you know to to on the plus side we have indeed seen inventories run down dramatically which was a surprise in the second quarter g.d.p. report one of the reasons that some

numbers of four point one percent the federal reserve's open markets committee meets tuesday and wednesday and what are they discussing and what can we tell you about it here to help is the c.e.o. of quill intelligence and the author of fed up why the federal reserve is bad for america daniel de martino both daniele thank you welcome it's always the u.s. economy has accelerated that four point one percent growth rate in q two and that's a quickest pace and twenty fourteen and president trump has and should rightly claim some victory for his policies and when we look at growth in light of the f o m c meeting today and tomorrow in washington what are the metrics that the governors are going to be considering. well i think that they're going to be trying to figure out what happens on the other side of this great big report will we see sustained growth of this level in the quote in the third quarter that we're currently in you know to tipped on the plus side we have indeed seen inventories run down dramatically which was a surprise in the second quarter g.d.p. report one of the reasons that so

the president saying he wants the federal open markets committee to stop raising rates. the feds doesn't have to listen to the president. will raise interest rates several times in the future. the problem with the economy is inflation. inflation is the second most important financial factor in your life. the first is employment, getting a job. inflation is number two and raising rates keeps the committee from overheating. new reports say the russians are at it again this time not just hacking accounts but reportedly spoofing web sites. you think you're at the right political site but you're not. some of those include conserve tifr republican think tanks. it is think tanks that impose president trump. we were saying earlier democrats have been very vocal. republicans less so. they are trying to cause trouble. they don't care. >> it's an attack on the u.s. >> thank you, scott. >>> it is 6:15 right now. >>> happening today a push to make governor jerry brown stays out. city leaders from oakland, richmond and berkeley will hold a news conference later this morning at oakland

the president not shy speaking out loud saying he wants the federal open markets committee to stop raising rates. the problem is inflation. it is the second most important financial factor in your life. first there's employment but inflation is number two. raising rates keeps the committee from overheating. >>> a new report says the russians are at it again this time not just hacking canada accounts reporting, so you think you're at the right political site but you're not. in an interesting twist some of those flights attacks include conservative republican sites, think tanks that impose president trump it traced the attacks back to the same group. keep in mind, while democrats have been much more vocal about russian hacking the russians don't have a side. if they want to attack republicans they will do it. we are all vulnerable. we all need to fight back. >> exactly. >>> a push to make governor jerry brown. they are hold a news conference later this morning. they claim oil and gas production puts peoples health at risk. >>> it is time to bless the grapes. a rabbi, priest and pastor to ble

different choice for the fed might have actually been pushing the board of governors and the federal open market committeeer cycle of rate hikes. david: stay with us. we want to bring in grover norquist, founder of americans for tax reform, welcome. grover: good to be here. david: let's get the taxes down, but is there a connection potentially in this sense that the government just borrowed a lot of money to make the tax cuts possible. it is cheaper to pay it back if you have a weaker dollar. grover: i do not think that is what is going through their minds. we have actually seen growth increase enough that if it continues over the next decade, we have more than paid for the tax cut. and youllion tax cut, only have to grow at 2.4% instead of 2% for the next decade for it to break even. so it is not what they will be reacting to it the white house. david: let's go at it in a different way. if you want the growth, as you are for it, as the president is, do you want lower interest rates because it allows consumers and businesses to borrow more? grover: i am more interested in a stable dollar, as long as you h

reporter: the trade dispute has been coming up here more than we have seen it actually in the federal open market committeents that have been released. the federal reserve is clearly watching to see if businesses are going to cut back, because of the trade dispute that is popping up. in the case of citi federal reserve president, esther george told me she's in close contact with farmers in her district. >> if it looks like this will continue if there's some persistence to these discussions, if it leaves businesses feeling uncertain, that could flow through to holding back on investment or less investment. that's something that i want to watch carefully to see if that will show up in the data at some point. reporter: if it does show up in the data in a big way, analysts say the federal reserve may pause or hold back on one of their rate hikes. however, esther george, the president of the kansas city fed, says she thought her first quarter in her district was extremely high, extremely well, because of the tariffs. >> particularly when you look, you saw soybeans shipped out at a higher rate and that boosted t

next week we get the minutes from the federal open market committee. we'll see that on the 22nd. ford under pressure, yesterday hit a six-year low. the ceo came out and saying don't worry about the morgan stanley and rest of them cutting the dividend. those are baseless. the dividend is okay. it is up half a percent. home depot is higher today. we'll look at some names we're watching for. three dow components, 15 s&p 500 components and a lot of retailers on the docket over the next several days. jcpenney, walmart, dillard's nordstrom. back to you. melissa: nicole, thank you. david: corporate profits boosting stocks. small business optimism is hitting a 35-year high marking the second highest level on record. we have gary kaltbaum, kaltbaum capital management and fox news contributor and lenore hawkins, thematica research. i'm skeptical with some of the surveys but in this case it is backed up with real money and real investment. i take it seriously. >> add one part lower taxes, one part less idiotic and moronic regulations and the most important part, just get the heck out of the

we'll also be getting the minutes for the federal reserve's open market committee. and two days of trade talks between the u.s. and china will begin. and then there's friday. that's the anniversary of amelia earhart's solo nonstop fleet across the united states in 1932 that flight took 19 hours to complete. >>> tornadoes typically strike in the spring, though they can and do occur at any time. when the national weather service issues a tornado warning, most people take cover and hope for the best, but not everyone gets out of the way our morgan brennan has more on an unusual man with a very unusual job. >> i'm a storm chaser and extreme meteorologist. >> intercepted it. >> reporter: yes while most people hunker down and pray, reed timmer drives into tornadoes head on using an suv that can withstand crushing 200-mile-per-hour winds. >> these tornadoes can obviously be very deadly and very dangerous. you have to respect their power. but i guess it's the best of an adventure also when i see a tornado in the field, it's one of the most beautiful things i've ever seen. i

he said i see the current path of gradually rising interest rates as the federal open market committee's approach to take seriously both of these risks. okay, it sounds a little like fed speak. let me translate it for you. nothing's changed. with the major global central bankers, mario draghi of the european union, is jackson hole a disappointment? does it pack a punch? we bring in ward mccarthy along with traders at the new york stock exchange and cme group on a very big market day. ward, i see nothing else that would trigger such strength in the markets than what jerome powell said and didn't say. did it surprise you he didn't really take on president trump? he's just walking the path he feels is appropriate right now? >> he's letting other people take on donald trump george being one of them. he explained why the fed is raising rates gradually and described it as being risk management approach to policy that should avoid major policy mistakes and gave himself an a for what the fed has accomplished by saying that the dual mandate is maximum employment and stable inflation, and he said

she is voting member of the federal open market committee this year. she will watch the trade dispute to see if it affects numbers but she only sees growth. >> my forecast for the third quarter, i don't know where the numbers come out but we may see the range of 3% as opposed to my last forecast looking at the 2% range port for the that comes with an asterisk, because she doesn't know and see what other countries will do to step up retaliation tariffs against our companies. >> i do hear from some of our businesses in the region that say i'm going to pause on some projects until i i see. others will tell you this hasn't affected me or i'm passing through higher costs as a result of that. you're getting varying reactions. that makes it difficult to precisely say this means to the economy going forward. reporter: we may hear more of from speech of federal reserve chairman jerome powell. we will lay out he sees the economy going forward as we get towards or at towards that neutral federal funds rate. connell? connell: chairman powell tomorrow. edward lawre

. >> reporter: ester george will be a permanent voting member on the federal open market committee startingtens to everyone from farmers to business owners to workers, also politicians, but she said at the end of the day it's the federal reserve that will decide what's best for the monetary policy in the u.s. maria: that was a great interview. thank you so much. edward lawrence joining us there in new york. a stark warning for americans, details on the new travel advisory from mexico that you'll need to know. brewing up a new business, we're taking you inside the world's first beer hotel, back in a minute. ♪ a hotel can make or break a trip. and at expedia, we don't think you should be rushed into booking one. that's why we created expedia's add-on advantage. now after booking your flight, you unlock discounts on select hotels right until the day you leave. ♪ add-on advantage. discounted hotel rates when you add on to your trip. only when you book with expedia. maria: welcome back. the state department is issuing a new warning for those traveling to mexico. cheryl casone has the details. ch

i would hope jay powell and the whole federal reserve open market committee, which has shown themselvesbe some adults in the room, is sticking with their mandate. their mandate is pretty clear. .hey talk about it a lot in front of congress they talked that staying in their lane. it seems to me that 2019 might be more of a challenge, not because of my be lots of tweets or presidential pressure, but rather because we've seen expansion here, rates are dampening down housing in the united states. they may not be able to raise rates, not because of the president but because of the underlying economics. yvonne: we will leave it there, jason brady, joining us from santa fe, new mexico. don't forget our interactive function, tv . a lot to talk about with the bond market and the short position we've seen these days. be part of the conversation, send us instant messages during our show. this is for bloomberg subscribers only but check it out at tv . this is bloomberg. ♪ ramy: this is "bloomberg daybreak: asia." i'm remy innocence you in new york. yvonne: on yvonne man in hong kong. prime