scharf, david solomon worked before joining goldman sachs since october of 2018. welcome mr. solomon, ms. jane fraser worked in mergers and acquisitions in goldman sachs before joining citi in 2004. welcome, ms. fraser. mr. jamie dimon began his career as a stockbroker in -- and turned at goldman sachs before working at american express and citigroup, serve at -- welcome mr. dimon. brian moynihan served at fleet boston bank -- he was named ceo in 2010. welcome and finally mr. james gorman joined merrill lynch and work for more than -- he served as ceo since 2010. welcome, mr. gorman. mr. scharf, you are recognized for five minutes. >> good morning and thank you for the opportunity to be here today. just over a year ago, when i last appeared before congress upon assuming my role as ceo, we are on the verge of the pandemic and i cannot help but look back and think about how little we understood about what 2020 would bring. on the pandemic struck, we all came together to stand up unprecedented at a scale and speed it had never been done before. the process was not perfect, but w

. >>> and your rbi, just 11 stocks, goldman sachs says hedge funds and mutual funds love right now, theist, the names just for you it's wednesday, may 26th, and this is "worldwide exchange. ♪ >>> well, good morning, good afternoon or good evening, welcome from wherever world you may be watching. i'm brian sullivan, it's 5:00 a.m. that's early here's now the markets are setting up their day stock futures they are higher once again right now, could be another good day in the street of dreams, dow up 87, and the dow and russell 2000 did break a streak on tuesday, a fairly new day today, volume was down, still, we are seeing futures high. overall, it has been a pretty rough month of may for technology nasdaq 100 on pace for its worst performance, to all the way back in october in the meantime, what's hold is new again. and the oldest commodity of all keeps moving higher. of course, that is gold at its highest level since january. gold higher up by eight bucks, 1902 and creeping back towards that $2,000 per ounce mark and of course, we've got to check the most volatile market of all recently

david kostin will join us from goldman sachs. part of it is about the end of this pandemic, and mom during the steps and where pfizer has been -- and moderna steps in where pfizer has been. jonathan: in the moderna study, 93% to 100% effective in a study of 12 to 17-year-olds. from here, the process continues. the company will submit for regulatory authorization in early june, and from there you imagine this one gets rolled out. tom: to me, it is about the quiver of solutions. it is not anymore one target, one silver bullet. it is a quiver of solutions for nations that are in the headlines, and too many that are far behind. lisa: the question now is below that, what about younger adolescents? and are we almost out of the pandemic? tom: stock moving 2.2%. we really need to frame the equity markets. futures up 15, dow futures up 92. jon ferro notes 18.36 on the vix. that is a david kostin number, isn't it? jonathan: after a really tidy rally in yesterday's session. growth has made a bit of a comeback. is that just a little bit of a

the chancellor here obviously came from goldman sachs and he'd say, no, he wasn't benefiting the goldman sachs brigade. he was benefiting ordinary people with his furnace schemes is help out to, to heat out slightly more controversially in the subtitle in the book where you say, why work doesn't pay as people start to emerge. obviously the pandemic is still going on here. why does work not pay? i mean, that is a question that the vast majority of people in britain probably talking about is they come off low and back into jobs if they're lucky. well, basically the, the architecture of renting capitalism. make sure that most of the income from economic growth, all from changes in the system go to the owners of property, financial property, physical property, or so called intellectual property. and these means the less and less going to people who rely on labor for the incomes. so we have this growth of the precarious on which i've written several books and we've got what i've called in the book prospect of a triple k. in the sense that before the damage, the bureaucrats from the leads of p

>> well, goldman sachs taking a side, i just think it's a nonstarter. bitcoin has gone from $0 to 40,000 without them, and obviously, i don't want care what side they are. if they are partial to see here to yum, that is -- [inaudible] whoever has the most money has a stake in what the code does and how it changes. hsbc not liking bitcoin is a nonstarter as well. again, we didn't need banks to get to this point, and we don't need them now. goldman sachs, to me, is just good promotion because they did have an employee who moved over to coinbase, so this is just them changing the narrative at this point. liz: could argue everybody's a little behind on this, gil. i mean, maybe the answer lies in the price action when it comes to the power of which of these two banks really is most strong. the power of the price of ether, over the last 12 months the ethereum price has outpaced bitcoin, around 1,000 perth. you do have -- 1,000%. you do have ethereum jumping today while bitcoin is recovering by 17%. what is your thought on this leaked report by goldman that fo

' there is no way to vote against the interests of goldman sachs in our political system whether you're voting for trump or whether you're voting for biden do you believe he joe biden the man knows that much of what he's saying isn't true and isn't going to come to pass that he's actually being dishonest. that's a good question i think he's pretty shown that he's pretty intellectually limited in the same way that george w. bush was was an election limited in some ways this makes obama more culpable because he wasn't intellectually limited i'm not sure what biden knows and what biden doesn't know he strikes me as a pretty empty vessel he has throughout his political career shifted with the winds remember he was the super predator and he orchestrated the whole militarization of the police the explosion of mass incarceration the 3 strikes you're out laws even though his own son struggled with addiction i sense a kind of vacuity there but again that's conjecture sounds like he's a guy who's been playing a role. you know i mean that's what he does and that's what i that's what politic

tom: people that cover apple, sri covering goldman sachs.omaine is the stoxx. -- is the stocks. tom: romaine is locked in. romaine: pfizer still benefiting from the covid crisis. this is a company that came in above estimates on the revenue side by about $1 billion, and actually raised its full-year revenue estimates about $8 billion to $9 billion above what it previously forecast, above what the street was looking for. a lot of this is because it expects to make more money off of this covid vaccines than previously expected. on top of that, it's none covid drugs doing pretty well. cvs health did report a bump up and revenue growth, but a lot of that had to do with raising prices on some of its prescription products. it is still being heard by the covid crisis because a lot of people aren't coming into that store. they are not buying that front of the store merchandise they would normally sell with all of that foot traffic. that is still waiting on them going forward. an interesting move at twitter. you are starting to see a lot of activity

goldman sachs says they want people back. as that happens, that will put transportation systems under pressure for the people who commute into manhattan. right now, the public transit is being avoided. you are down something like 70% capacity. how do respond to that? financially, you can't run them long down 70%, can you? governor murphy: number one, the prior coronavirus relief funds or the american rescue plan money, or perhaps what is being debated now, the infrastructure plan, we need that help. secondly, we have fixed what was broken, and use the pandemic to fix it faster, so i think people will find a clean, safe, reliable system. thirdly, one of the ways we will get to 70% vaccination is to get our business community to be proactive, just as we are at the state level. we had a good call with the chamber of commerce on this topic this morning, getting businesses to be forward-leaning into this, as we are at the state level. i think the transit community reality will be slow to recover, but when folks come back and parti

you can thank one goldman sachs. goldman sachs shares surging again.you have not been paying attention to the bank, you should be. around november 1st, goldman shares took off. it has doubled in a year and booming since the fall goldman sachs at $367 a share. it was at $185 a year ago. you go, goldman. >>> the crypto market. everybody out there is talking about it bitcoin up a bit ethereum down a bit. dogecoin is down a bit 62 cents off the high of 69 cents a share. it is higher from the constant moves. there is no pre- or post-market crypto they trade constantly. dogecoin, i know you are watching for good reason dogecoin at 62 cents we will get more on the markets and your money in a moment >>> right now, let's get you up to speed on the morning's big news the fed warning rising asset prices are posing increasing threats to the financial system. the word of caution coming in the central bank semiannual financial stability report it reads in part, asset prices may be vulnerable to significant declines and should risk appetite fall. take note. that is a

goldman sachs will take out 51% stake, it will boost the u.s. s distribution network and access to wealthy customers on the mainland. icbc has 850 million personal banking clients. goldman sees investable assets in china, surpassing -- in china surpassing $70 trillion by 2021. there was a pay rise in a recent study shows two thirds of ceos have a billion dollars in assets with an increase of compensation. capital one financial spots had the biggest pay rise at 161 percent. however, not everyone got an increase with the ceo of bank of america, wells fargo seeing their pay decline. shares are set by investors seeking a commitment from the company on climate change. an activist investor group, led by a hedge fund named engine number one, is pushing to replace four of the oil giants board members with those more open to clean energy. coming up next, authorities raised to clamp look...if your wireless carrier was a guy, you'd leave him tomorrow. not very flexible. not great at saving. you deserve better - xfinity mobile. now, they have unlimited for j

fiscal spending. >> it was interesting in that goldman sachs note. they are saying now is the time to buy this because, yes, china is flagging that it's going to have more government intervention. they really want to curb those price pressures that are at three-year highs from spilling into consumer prices so whether that's greater oversight in terms of those futures markets, curbing speculation in the market, but against this backdrop, we are seeing just the strength of u.s. demand, this fiscal stimulus coming through is going to propel that u.s. demand so i think against that backdrop, against ongoing supply constraints as well, we have seen some signs of easing on that front but together, that does suggest that we are still in this period where commodity prices will be supported even if china is going to take marginal steps to try to intervene there. anna: we did see the bloomberg commodity index retreated a little on those chinese comments. thank you very much. thanks for joining us. good to speak to you this morning. you can get analysis and ins

you have goldman sachs, j.p.setting a schedule for when they expect people back in the office. is there a feeling among some of the people you work with that rumors of the death of the office have been greatly exaggerated, given the idea people want to be around other people? barry: for sure. there are couple of things that stood out. the four partners said we would come in, and everybody else it was optional. we were surprised we had 20 people show up, including jonathan novy from chicago, shocked everybody. he has been vaccinated for months so he was comfortable doing that. it is still masks in public places. everybody in the firm is fully vaccinated. what you learn is a lot of the work we all do day to day, you can walk in your spare big room at home or your office, shut the door, and do the work. that is just your particular work. it is not the work of operating a firm. you have to be able to maintain a corporate culture and have everybody understand the firm's goals and the way we operate. we met yesterday f

is goldman sachs going to have a shakeup? sridhar: goldman sachs has had a recent shakeup. was forever ago. come on, is goldman sachs next? sridhar: i that david solomon to some want to leave anytime soon. jonathan: the copresidents role, how on earth does that work? sri: at least at this firm, the morgan stanley today is extremely different from the morgan stanley of 10 or 15 years ago. you have a firm that is not a pure play wall street investment bank anymore. it is a wealth management arm that contributes nearly 15% of its overall revenue, so it kind of makes sense to pick someone who has charge of the entire investment bank, and mb -- and andy saperstein, who has really built a wealth management powerhouse, starting with the e*trade by, possibly the biggest bank deal since the financial crisis. it has become a major center of gravity for the firm. at morgan stanley, you had to have a situation even without any inside knowledge. the best guess anyone would have had was the most logical outcome here in trying to figure out who will be the top deputy to james gorman would

abby joseph cohen went of goldman sachs, indeed -- abby joseph cohen of goldman sachs, thank you very indeed. coming up, amazon's huge push into entertainment. we are going to talk about that next. this is bloomberg. ♪ ♪ guy: 24 minutes past the hour. live from london, i'm guy johnson. alix steel is in new york. this is "bloomberg markets." let's talk about the future of bond. amazon reportedly in talks to buy mgm studios, its biggest push into entertainment. mgm's library includes bond. some classics in their, "dr. zhivago." alix: "gone with the wind." guy: dave wilson is here to tell us more. dave: the information in "variety" that a deal is in the works, saying amazon has been talking with metro-goldwyn-mayer for weeks, and possibly a $9 billion deal. why would they decide to go this route? using about all of the competition that amazon is now you think about all of the company -- you think that amazon -- you think about all of the competition that amazon is now facing. netflix, disney+, paramount+, hbo max, apple tv, youtube tv. you have to think about a way to combat all of that

goldman sachs is planning to tell u.s. they should be prepared by the middle of next month to work from offices again. that follows jp morgan's mandate last week for a return to offices in rotations starting in july. reported first-quarter results have beat estimates. they more than doubled their profit forecast for the entire year. they are being boosted by a high demand for athletic air. a recovery in global oil and gas markets allowed the saudi aramco to keep its dividend. that is your latest business flash. guy: thank you very much, indeed. semiconductors very much under pressure while the old-school economic bellwether transports have been surging to new highs. those two complaints really -- those two potentially conflicting signals, dave wilson is paying attention to those. dave: it is an interesting contrast. you look back in market history and you see dow theory. the whole idea is that if the transport stocks are moving along with the industrial stocks , that confirms a market rally, and vice versa. the idea that i

today, david kostin of goldman sachs some grated -- of goldman sachs upgraded his earnings estimates.highlights the divergence between the top down strategists and the bottoms up analysis. the white line s&p we know is near record highs, but the blue line is the bottom up analysis price target, how bullish individual stock calls are. the yellow line is the top-down strategists price targets. the macro guys that are adjusting the price targets like lori calvasina, rbc capital markets head of u.s. equity strategy, that joins us now. divergence between the bottom up and the top-down is the widest we have seen in four years. what does that do? what does that mean we are looking at price targets? lori: i can tell you what we have done on our side, and we do compare ourselves to the bottom up consensus on the earnings numbers. we look at valuation multiples in the context of 2022 eps, and we have haircut next year's earnings for corporate tax hikes, which takes our number from that bottom up consensus down to 200, so we think we are being a little bit more aggressive than your typical stock

and goldman sachs said they deserve their multiples, but analysts hosting say antitrust investigation, the greatest threat not sure i've sign it laid out clearly or forcefully on wall street yet another thing perhaps those mega caps have to contend with this year. >> i think it's true, but, guys, a big difference between tech overall, and look at apple, microsoft, amazon. they're right now, a lot of red on the screen trading higher than beginning of the month. that's in contrast what we're seeing with a lot of these growth stocks. yes, there are issues of antitrust, but how long is it going to take that to play out it's going to take a really long time, carl in a way of antitrust, the biggest worry. that might be bullish for some of these large names >> yeah. i think goldman would certainly argue the bigger threat is actually capital gains reform, tax reform, corporate tax reform more on that later we'll get to all of this with our first guest this hour. just downgraded tech to neutral recently this morning says the tech stocks could decline an additional 7%. take you down tho that 20

goldman sachs plans to double its investment in japan. ncrease its investment to $2.3 billion a year. the firm will focus on logistics facilities, data centers, and corporate owners. that sets the agenda on your business flash headlines from around the world. you can ask me directly whether i did as well as laura. have a great day, enjoy your barbecue. the price of burgers has gone up. tomorrow morning, when you're wake up post burger, post bud light or whatever else you have in your hand, you may well reflect on what is going on for central banks in the world. the rba delivers their nuanced report tomorrow. the pboc has raised -- to 7%. the currency has reacted in a small manner to the cease-and-desist order they have taking to jawboning the currency. crewed up 1.5%. i can tell you the opec report says demand will be 6 billion barrels. ringback accrued. crude is -- bring back the crude. ♪ (announcer) back pain hurts, and it's frustrating. you can spend thousands on drugs, doctors, devices, and mattresses, and still not get relief. now the

solomon, did goldman sachs underwrite saudi aramco's ipo? >> we were one of the underwriters, yes. sen. kennedy: how much did you make? >> i don't know off the top of my head what our underwriting fees are, but we can certainly come back to you. it would have been millions of dollars, but i don't know the precise number. sen. kennedy: mr. moynihan, was of america one of the biggest underwriters of one of the biggest oil and gas companies in the world? >> i don't know off the top of my head, but we will get back to you with the details. sen. kennedy: i think you were, i will save you some time. wells fargo, where you one of the underwriters for saudi aramco? >> i don't know the answer to the question, senator. sen. kennedy: you were, i will save you some time. how about citigroup? do you know? >> yes, we were one of the underwriters, sir. sen. kennedy: how much did you make? >> i'm afraid i don't know how much that was, sir. sen. kennedy: ok. mr. dimon, was j.p. morgan chase one of the underwriters? >> yes we were. sen. kennedy: how about mr. gorman, morgan stanley? >> yes, we were.

i learned what to wear at goldman sachs and learned how to think there. i was taught how stocks move, a process that can be counter intuitive for people watching the disaster it was today. my teacher david darsh asked me what's the key determination of stock prices jim, why do stocks go up and down profits. said nope. sales. nope management he said the number one driver of stock prices is the bond market. especially the u.s. treasury market it's so much bigger than the stock market literally every asset, everything is priced off the bond market. which brings us to what happened today. one of the things that pushes up bond yields is inflation you need more yield to compensate for inflation eroding the purchasing power of a dollar so when you get the raging inflation number, bond yields spike. nothing is worth more in the future if there is inflation stocks are long gated assets valued based on the future earnings potential and those future earnings are worth less in a world with higher inflation. just if you only take that away, they're worth less it's par

and looking into the goldman sachs behavior. and it had to do with the decision of the most profitable corporations. and with their income and profits. with the corporate office sure we had a hearing with apple to create a fiction when all they were doing collecting revenues from around the world so for us to allow companies like apple and others as well out of silicon valley to pay little or no taxes is wrong for the rest of americans and to in effect make up for the shortfall that were created with the major most profitable companies don't pay their fair share avoided by the use of intellectual property. there is a very important hearing. heavy fines but that hasn't changed the situation. >> with the impeachment of the senate trial so little did we know two additional senate impeachment trials over the next few years. you told your colleagues that the president's conduct was reprehensible. how difficult was that decision to come to? and looking back how did the trial and the verdict differ from the trump trials? >> in clinton'

guys, back to you. >> wow, a lot of folks buying cars, thank you. >>> still ahead, former goldman sachstreet's culture needs to change amid the burnout at banks. banks. we'll be right back. proactive s for market events before they happen... and insights on every buy and sell decision. with zeron online u.s. stock and etf trades. for smarter trading decisions, get decision tech from fidelity. do you have a life insurance policy you no longer need? now you can sell your policy, even a term policy, for an immediate cash payment. we thought we had planned carefully for our retirement. but we quickly realized that we needed a way to supplement our income. if you have one hundred thousand dollars or more of life insurance you may qualify to sell your policy. don't cancel or let your policy lapse without finding out what it's worth. visit conventrydirect.com to find out if you policy qualifies. or call the number on your screen. coventry direct, redefining insurance. see yourself. welcome back to the mirror. and know you're not alone. because this is not just a mirror. it's an unstoppable com

they are going from everywhere, goldman sachs, j.p.gan, and these two new startups that have hired people as well. one of the coups was to hire the managing director from goldman sachs who came back to australia with a startup bank leading the natural resources team. paul: australia has had well-publicized success getting covid under control. it is having impacts on the banking industry. national australia bank's just opened a new office. >> they opened a new office in sydney. they will be cutting back on office space. they wanted to move into a new, sustainable building in the heart of sydney. it is covid managed in terms of working space with more open lounging spaces. the bank is running about 42% capacity with people back to work. shery: coming up, we will discuss the challenges of reopening borders and the vaccine rollout with nancy baxter. she joins us next, as we see asian features gaining ground at the moment. we will discuss. this is bloomberg. ♪ vonnie: china regulators say they hope -- there is market manipulation and suspic

goldman sachs say you want to allocate to companies in the u.s. that allocate globally.o you want to be long u.s. with a global lien? yves: i think, first of all, in equity context, [indiscernible] whether or not you're going to be slightly overweight is a function of the kind of -- is there a big case today for more value that would lead new toward europe as opposed to the u.s., over quality group -- growth that would lead you to favor u.s. equities rather than european? i don't think so. consistently, with what's happening in the bond market on the 10 year yield, and by the way, interestingly, consistent with the extension we see that the rotation in the market is actually fading. they're not really tradable, so there's no trend leadership anymore. the demand is probably waiting for evidence of whether inflation is on a more sustained ride or temporary type of increase. annmarie: you say that earnings for s&p 500 companies this year should be 2019. are you worried about potential tax hikes in the united states hitting margins and inflationary measures hitting margins t

i think it is so interesting that for someone who worked at goldman sachs, worked at the department of treasury, randy cftc, and is a professor at the school of management, if he has to double check on the rules so much, it has to make your job as a clients officer difficult. >> -- compliance officer difficult. >> he is hamstrung in some of these areas. the sec cannot fix all of your problems. this was not a gamestop hearing, this was a gary gensler hearing. he was asked to talk about climate change and forced arbitration among financial firms and companies at large. those are well beyond what happened in january, in your hearing a push about social media, the way the sec can start to get into technology, he is not going to start doing that alone. let's see if washington can put things aside and work together when it comes to reforms the industry is actually looking for. citadel securities actually put out a paper on monday for proposals to the sec. >> i feel like wall street working together, there's probably a better chance of that there washington working together, but i admire the

among them, goldman sachs. but how would supply-chain shortages affect growth?ere's what some of the ceo 's and cfos we've been talking to have been saying. >> i think it is a little bit of a fragile position when we talk about the supply chain and logistics. >> demand has been strong. [indiscernible] >> it is too early to tell how big the economic impact will be and how well we are suited to pass it on. price pressure on the conventional site has stabilized. >> our businesses are actively looking for pricing solutions to mitigate variable cost increase. we do it very well, and our procurement team will obviously do their part. we are expecting to offset as much as a possibility increase in the coming quarters. guy: there's a supply chain ongoing. is it going to throttle back the growth story as well? is that going to be something that holds back europe, heavily exposed to the industrial sector? george cole, goldman sachs managing director of european rates strategy, joins us now. do you think the supply-chain shortages could end up digging that's recovery a lit

but in terms of how far the rally can go, goldman sachs has a said that this commodities a cycle could be entering a goldilocks scenario in the next few years. the prices could go up to $15,000, so that would really help them out. but we have also seen spot demand wane, so it will be interesting to see how those prices do. matt: thank you. now to something that caught my eye. one of the most read stories on the terminal today, sechelles, which has vaccinated the most of any other country, says active cases of the disease doubled last week and now nearly 205 the coronavirus. -- 205,000 people have the coronavirus. and 37% of those people have received two vaccine doses. shots were issued to 57% of those in alico related in -- those who were given the shot. coming up, defined crypto. elon musk attempted to define does coin during snl. we will be talking to sean neville, next. this is bloomberg. matt: -- >> it is going to take over the world. >> so it is a hussle? -- hustle. ? matt: that was elon musk on saturday night live. here with more on the broader picture of crypto is the cofounder

goldman sachs putting out a note over the weekend. comments inspired by that note.nk of the potential of higher real rates, higher taxes, decelerating growth. what is the equity market look like with all of that in mind? switch of the board and get to real yields in america. the 10 year real yield rolling over. now negative 91 basis points. a bit of a move higher, substantial move higher into march, and then lisa -- and then recently it rolled over again. lisa: you are not getting compensated for inflation expectations. i wonder where the fed comes into play. let's say they talk about tapering. what happens to the negative real yield? what does that do to markets? jonathan: intuitively, that is what you would expect. i have no idea. this is what your nominal yield looks like. switch of the board. futures declining. nominal yields climbing almost one basis point on 10. on 30's, up about one basis point. outside of the discovery deal, no real drama in this market. lisa: no real drama. i would say that is true. under the surface a lot of drama. the other thing is the d

goldman sachs out with a statement. ethereum could be a bigger overall market than bitcoin.o your point, victoria, the c correlation with bitcoin and the stock market does it give you comfort to see what we he sahe saw with crypto do you view them as separate asset classes? >> i see crypto as an alternative market class a nichemarket status if you look at it, you don't want to see anything meltdown. that breeds in more fear the sky is falling chicken little style i don't like to see any gas on the fire panics. i think a lot of investors see that with the tensions that are trading that market. i think they view this as a long-term hold to get into a new market rather than necessarily actively trading it. >> let's not forget what a lot of this is designed to be attached to or a key part of the block chain financial transactions decentralized finance. one of your stocks is selling itself with a huge block chain attachment that is big blue ibm. is that one of the reasons or is that a separate add-on to why you like ibm as an equity? >> it is a separate add-on it is really hard t

goldman sachs say $80 is attainable, even aggressively assuming july restart for iranian crude, they see $80. it is about mobility and they say that is deeply underpriced in the markets. annmarie: just ahead, europe reacts with outrage after belarus forces a ryanair flight to land in minsk so a journalist can be arrested. more on that next. this is bl (announcer) back pain hurts, and it's frustrating. you can spend thousands on drugs, doctors, devices, and mattresses, and still not get relief. now there's aerotrainer by golo, the ergonomically correct exercise breakthrough that cradles your body so you can stretch and strengthen your core, relieve back pain, and tone your entire body. since i've been using the aerotrainer, my back pain is gone. when you're stretching your lower back on there, there is no better feeling. (announcer) do pelvic tilts for perfect abs and to strengthen your back. do planks for maximum core and total body conditioning. (woman) aerotrainer makes me want to work out. look at me, it works 100%. (announcer) think it'll break on you? think again! even a jeep ca

goldman sachs is reduced to get reduced -- expected to get reduced to $3 trillion. we are talking about a seismic shift. an even more important than this is the green book, the tax proposals accompanying this will also be out today. how much will our tax regime change? tom: we will have a look at that, jamie dimon commenting on that as well. in the markets this morning, it is the end of the midyear, and the consistent theme is the vix under 17. lisa: and it is the amount of cash in the system. yes, it is the recovery, but there is also so much cash. have you moved over your cashier? tom: it will be interesting. we will show a chart, the amount of cash up there. and i look at the market, and across assets, futures up 180. we do the dow futures when jon ferro is not here. it is an ancient tradition. the vix under 6%. what do you see of the currency market? matt: the lire i've been watching closely, ever since erdogan fired his most recent central banker. and it is really not the dollar-euro lire -- the dollar-lire important to people in the turkish economy, it is the

example of goldman sachs and that is certainly true. s for some office workers, the rents for some of the _ office workers, the rents for some of the residents in this area have gone _ of the residents in this area have gone down _ of the residents in this area have gone down. as a result you're seeing a lot more _ gone down. as a result you're seeing a lot more younger people. with some of the _ a lot more younger people. with some of the bars _ a lot more younger people. with some of the bars and restaurants we have spoken— of the bars and restaurants we have spoken to. — of the bars and restaurants we have spoken to, they said they have had a more _ spoken to, they said they have had a more clientele that is coming in, to kind of— more clientele that is coming in, to kind of make up for that office worker. — kind of make up for that office worker, citing there is going to be a fundamental shift in a lot of different— a fundamental shift in a lot of different new york neighbourhoods and at _ different new york neighbourhoods and at the

goldman sachs making really clear that these people are investment juggernauts.hat are they going to do with the new money that they are going to pay nearly zero yield on? matt: we are hoping it will be more than what they are going to use for it, essentially they are going to use it to drive prices lower. they are going to be using it to have less wages, have less employees, really invest in infrastructure, but at the end of the day, jeff bezos told you in the past, there's two cans of companies, those that want to raise prices and those that want to lower it. what amazon will be doing with this money is everything they can to be deflationary. that is the environment we have to push and pull right now. you have the deflationary side of things, and the inflationary side of things where you can't hire enough people. tom: i don't want to start any rumors, but possibly they are bringing in the money to establish a dividend to do a huge stop split -- huge stock split. jonathan: i think that is a little speculative, tom. [laughter] a question lisa would ask, these com

tom: shout to jeff currie of goldman sachs, who just nailed this call.e said we are going to go higher, and we did that. let's get right to it with jack fitzpatrick. there's 14 things to talk about in washington, including the brawl last night between the washington capitals and the new york rangers. we will skip that. i want to go to the unspoken, which is the first 100 days of malarkey of people like you. how were the first 100 days of citizen trump? jack: of citizen trump, not well. we have seen a ton of statements that he would probably like to put on facebook and twitter, and will not be able to for at least the foreseeable future. but he's putting much in control of the republican party still, and we are seeing that in the fight between liz cheney and who could replace her in the house republican leadership position. so trump is still trump within the political party. he is still the leader of the party effectively, but clearly doesn't seem particularly happy with development on social media. tom: let's get out front of the story. how will he and h

alix: i just want to point out this chart from goldman sachs.e the argument that this is even bigger now. this is the three-month contract, called backwardation. the more you have in this chart, the more backwardation you see. the big winners here are things like corn and soy, hogs and cotton. yes, you have copper, you have wti. a couple of things to point out. one, there's a bigger emphasis now on short cycle commodities because of the technology. used to be able to plant corn and soy and readjust planting fairly quickly. you can still do that, but you can also get oil out of the ground fairly quickly. the second, and you mentioned it, is india. does going to be certain commodities that are very much levered to that. one particular is cotton. that is going to get hit on both ends due to covid, certain shutdowns and virus surges we are seeing their. guy: $0.05 away now from breaking $70 a barrel on brent crude. you talked about it being shortages in the commodity space, and lumber to $1500 earlier on. not just commodities. you could call chips c

william dudley is the former president of the new york fed, for years at goldman sachs, writing for bloombergon. we are thrilled bill dudley could brief us this morning. i want to talk about policy rule inertia. the physics of guys like you, you do in newtonian mechanics, and we start talking about inertia. what does the inertia look like right now to higher interest rates? william: at the short end, there is the inertia of keeping short-term rates steady. they are not going to begin to raise interest rates until they get to full employment, 2% inflation, they are confident in place and is going to go above 2%. we know it will take a while. once they start, they are going to be late, so they are going to have to catch up. i think people don't really fully appreciate when they have to catch up, the level of short-term rates is going to climb much higher than what is currently priced in by financial markets. tom: what you just heard is the synthesis of history with economics that bill dudley was legendary for at goldman sachs. i am going to cut to the chase. in your wonderful essay, you talk ab

joining us is someone who works with clients thing to finance deals, christina minnis, goldman sachsf acquisition finance. also with us is bloomberg's ed hammond. usually, one of us is at the beautiful california conference, but this is fine, too. it is good to have you here. is the world of big leveraged buyout back -- of big leveraged buyouts back? christina: it is good to be with you. i do think that the world of the large lbo is back. the conditions in the market are very robust, and as we had many conversations over the years, the dry powder of our sponsored clients is significant, so we are very bullish on 22 anyone. ed: one of the things that we keep hearing about any market is a return of the plug deal. a lot of sponsors overseas want to go out and do big deals. is that something we are going to see this year? christina: i do think you will see partners sponsoring some of the transactions that are being contemplated, where the equity check is in the multiple billions. some of them are looking at transactions that require $10 billion of equity. in that scenario, we absolutely

used to work over at goldman sachs. knows his stuff across the spectrum.t are you looking at tomorrow, the next elon musk toy? joe: i think there are some technical lines happening. some moving averages are getting close to touching each other. i'm very curious about those. i will be checking those out first thing in the morning. romaine: joe is always caught off guard by this question. joe: you ask it every day and i never expect it and i have to make up something every time. romaine: this is bloomberg. ♪ ♪ ♪ look, if your wireless carrier was a guy you'd leave him tomorrow. not very flexible. not great at saving. you deserve better... xfinity mobile. now they have unlimited for just $30 a month... $30. and they're number one in customer satisfaction. his number... delete it. i'm deleting it. so, break free from the big three. xfinity internet customers, switch to xfinity mobile and get unlimited with 5g included for $30 on the nations fastest, most reliable network. (announcer) back pain hurts. you can spend thousands and still not get relief. now there'