for the hope powell was team manager everything was fine but after she was sacked then the women's team becomes bad and abusive resurfacing of about me pal was so concerned that she contacted. i report it and in and krell. two thousand and eighteen. it took like florida we want to put pressure on the file to start investigating to see two zero zero zero zero to help the victims. says it has a quote zero tolerance policy on such matters and has reported even involve the united nations as some aspects of these allegations involve sensitive topics linked to the protection of those involved we have sought support from relevant parties who willingly offer to support to people. a scandal of this magnitude threatens the development of women's football in afghanistan. dublin played host to the euro twenty twenty qualifying draw on sunday with a pick of the group's featuring fierce rivals germany and the netherlands after a disastrous world cup and the way phoenicians lee campaigns germany knew they'd be drawn against a difficult opponent. germany germany you can see the netherlands a special wo

hope. jay powell says rate hikes will be needed next year.lling a low-profile rate cut. yvonne: bank of america says washington and beijing need time to sort out their differences. our exclusive interview, coming up. yvonne:

hope jay powell can explain this to him. we're not that far apart, let's about this. we will not end up much higher on interest rates than we are now. stop talking about our decision-making. upset do that, you will global financial markets, part of what happened this december. everything , i take you are saying and it sounds very smart and sensible, but i of fellow nk a lot investors out there, having watched the way this has gone so rhetoric are saying, david, that is adorable, i don't think the president is going to to the fed chair. so what, sort of press you on this a little bit. outweigh the rewards for a meeting like this? you could have the president say out and essentially i've got an agreement with jay powell he's not going to do more.ng david: that would be damaging, if he did that. have to jay powell will then put out statement saying we have no such agreement. nd the federal reserve will make decisions independently and he doll that. he will assert that independent bernake has done. jay powell andto the president. if the president says that, it contradicte

the fed takes centerstage with a dovish hike, maybe not as dovish as the markets hoped for. >> powellreally facts and circumstances, meeting by meeting and meeting. >> central banks of japan and england stand pat on policy. italy's budget concessions pass muster with europe. >> as the more moderate people have won this battle. >> softbank's i.p.o. sinks in its first day of trading. china celebrates 40 years of reform with a message of re

the fed takes centerstage with a dovish hike, maybe not as dovish as the markets hoped for. >> powell that >> it's really facts and circumstances, meeting by meeting and meeting. >> central banks of japan and england stand pat on policy. italy's budget concessions pass muster with europe. >> as the more moderate people have won this battle. >> softbank's i.p.o. sinks in its first day of trading. china celebrates 40 years of reform with a message of resistance. >> very few mentions of the private sector. or the market forces that have come into play the last four decades in china. >> as global markets struggled, exclusive insights as to what's ahead by stan drucker miller. >> if you look at the indicators i have historically used in my business, they're not quite red yet but they are definitely amber, setting off warning signs. >> it is all straight ahead on "bloomberg best." taylor: hello and welcome. i'm taylor riggs. this is "bloomberg best," your weekly review of the world of business. let's start with a day-to-day look at the top headlines. on monday, u.k. prime minister theresa m

i mean i just think what the fed is doing here is very poor decision-making and i hope that chairman powells meet with president trump. as you know, the fed is, was made by congress in 1913, the federal reserve act. and sure, they're independent. they have 14-year terms. but they're a part of the government and why shouldn't the head of the fed meet with the president? charles: they should be held accountable. politically they should even want to be held even more accountable for their actions. you know, when i heard jay powell acknowledge in that dallas speech, q&a, they're not sure what their actions are going to be an impact will be 18 to 24 months from now, essentially saying it is a shot in the dark and to your point, based on old historic playbooks that may not be in effect. inflation in the '70s, i don't know if we ever get there again, i don't know that we're even near there. before you go, looking for potential opportunities as we go into next year? >> i think there are two places that i think will do well going into next year. one i think, there are a number of closed end funds th

jerome powell did, indeed, raise interest rates, but dialed back expectations for more rises next year, but not to the extent the market wast hopingitions have worsened, they have noten changed enough change the fundamental jo look. they will continue to monitor financialue and global economic developments. but he stopped short of offer any more concrete support of language and that is what has driven this ripple through markets. people are concerned about global growth next year. >> we're always following the tech giants closely. there's been some fallout for facebook as that company continues to attempt alleged data access agreements that weren't enough to contain investor and user concerns. what's the latest on that front with facebook? >> well, facebook under fire yet again. it feelsr like every week ther is a new negative headline around this company. this time, the negativity came following a "new york times" investigation that revealed facebook shared even more than previously thought amounts of data with companies they called partners. this included spotify, and included access to private messages. facebook has admitted th

what could powell and trump hope to get out of a face to face meeting?t is a big question. a lot of people have looked at these. wall street journal was one of the first to report the white house staffer were trying to set up a meeting between the fed chair and president. president trump has been critical of the fed, people are wondering if this would be more of a loser for powell than for trump. maybe they just want to get them together again, even though it comes after the president talked about firing jay powell. what is behind this? a private meeting could ease public tension. some say it might look like powell is giving in to pressure from trump, could create infusion over what was discussed if the president says jay powell said -- we could have to raise rates. iwell says, that is not what said. he could misinterpret what mr. powell will say. governors -- one man who was on the board of governors many years ago, this is what we ran through all the things we could get through this. he said it could be an opportunity for jay to confront his riddick an

chuck schumer said that a house spending bill for a wall has no hope to pass in the senate. but powellent will not budge. >> the truck temper tantrum will shut down the government. but it will not get him his wall. the bill on the floor of the house everyone knows will not pass the senate. speaker ryan, mick are think put it on the floor of the house i knowing it could not pass the senate. everyone knows it cannot pass the senate. it is a cynical attempt to just hurt innocent people and do just president trump wants, even though they probably know it is bad for the country. >> the president wants to make sure that he gets enough that he feel comfortable protecting the american people that is the number one job he has. every single member of congress, both republicans and democrats have campaign campaign they want border security too. the democrats are playing political games. they have to decide if they hate the president more than they love this country. >> the bay area will be impacted by a shutdown by some ways. some parks will be shut down. trail would remain open and rangers will

he hopes to somehow convince powell not to go forward with planned rises to rates. question is where does it all and? when any president pursue that? probably not. trump shownt a history of bucking conventional wisdom? sure. but the economy may be different on other issues, in may be different than calculations on u.s. military presence in syria. the economy is part and parcel the strength heading into his reelection campaign, his leverage against democrats in the house as they take over the majority. if the economy is not doing well, president trump is not doing well, and it's a catch-22 for him, because he feels that powell is undermining his ability to keep the economy on course, and if he did something tremendously disruptive it could make the economic conditions even worse. i think that's why you haven't seen -- it doesn't mean he hasn't been thinking about it. >> margaret talev, thank you. great to catch up with you. steve mnuchin was also busy last night, apparently calling bank ceos. the treasury secretary had a statement out, saying he confirmed there's amp

. >> assuming jerome powell has his earmuffs on. >> i hope he does. >> he is talking to a team of economists> yeah. >> he is looking at the data. >> that is how he is making his decision? >> absolutely. it has to be said before any of this happened, before the shutdown, be tfr tra-- before t trade war with china, there was a robust debate with the fed where we will be at this moment. there are strong arguments to make you should go forward and raise rates and get some of the froth out of the market. yes, stocks will fall, they have been at highs arguably too long. there are some that say we need to hold. every ten years ago you get a recession, we are at that point in history so this is a serious debate. they're having it in a serious way, they should pay no attention to what the president is saying or doing right now. >> in fact, with this president, do you feel by calling out the feds so publicly the president almost forced this rate hike as a display of institutional independence? >> yeah, how irresponsible is that, that the fed did something against the interests of hundreds of millions

that we were getting data dependence for next year and a more contingent fed and they were hoping for jay powell, that's what the market wanted to hear. and the market heard a concrete two hikes for next year. it didn't hear contingency. it didn't hear data he dependence. that's part of the reason the market sold off. >> i'd add to that, that some people say -- i'm not in this cam, bucamp, but you could see a recession next year. the worst case would be recession or slowing growth and a fed that's committed to raising rates. i think that's what has been spooking the market. i differ a little bit from what you said earlier. i think it's a great opportunity to buy when things are down, when you have 20% drawdowns in the market, the last thing you want to do is sell. what you want to do is look for opportunity for people watching at home. >> agreed. i don't think we're done yet. we crashed through 2450 yesterday which is one of the first levels of support. we're probably going lower, probably another 4%. that's in the short term. i do think earnings have to come in realistically for next year. the

. >> powell and the president could meet some time in the new year. aides hope to orchestrate a meeting to ease tensions between the two men and allow the president to have a conversation with powell who he's been speaking about publicly for a while and that wouldn't be unprecedented but would be rare buzz white hou because they try to preserve the federal reserve but we know particularly sensitive to downturns in the stock market because he's characterized stock market rallies as proof of the success of economic agenda. >> sure has and at least one of the people begged the president not to do that publicly and probably privately as well. thank you so much. let's bring in two former trump advisers, steven moore, i was just talking about, a senior economics analyst for cnn and previously advised the president on economics and steve cortes, a political commentator and former head of the hispanic advisory counsel. i want to start with you about the notion of a powell/trump meeting. bringing in the fed chair to have a conversation. good idea or bad idea? >> first of

the speech from powell, giving us all hope we would get this santa claus rally. we have had a good santa claus rally. it dismantled this week when the short end of the yield curve inverted. people freaked out about recession. you had fed speeches to suggest, hold on, we are not totally easing the brakes. the market is going through volatile scenario. it is not anything different this week than it was in october/november. 3% down day in october and november. peak to trough movements in index are not bigger today. the number of 52-week lows on the index is declining. things are not getting worse. it is just as bad as it has been. lisa: there has been a fundamental shift with respect to growth outlook. it has a lot to do with trade. the executive arrest was significant. today we found out senior executives within the white house and beyond, new about this, while they were negotiating with xi jinping at g20. this is important. it indicates the sigh of relief we had with respect to postponing negotiations and having an easing for a bit, might be off the table. we don'

hoped. 500 tumbled to a 15-month low. investors flooded into treasuries after jerome powell signaled the fed sees little threat from the recentmoil in financial markets. joining us now, the chief investment strategist at lombard investment managers. what did you take from the fed? were they hawkish? was it less dovish than expected? >> i think we ended the meeting with the fed versus trump and ended up. on its own, the nudge from the fed or shift in the direction was on the dovish side because hikest plot was moved for from three to two and there were subtle shifts in the statement, as well. but the market was looking for stronger endorsement from chairman powell, which he did not give in the chair -- press conference. that is where there is a discrepancy between the market's view that a slowdown is coming. the fed view looks at plot data and calibrating on that front. discrepancy is the source of this angst we are seeing. anna: i want to get to my chart in a moment. i will ask another question because what you said is interesting. the discrepancy between what the market thinks and the fed thanks, is it to do with the differe

plunge protection team and trumps comments on powell created downturn on monday. i hope he is safe. dual mandate, full employment, price stability. they're where they need to be normalizing interest rates and balance sheets. so i don't think he deserves the criticism he is getting and i hope he is safe. lauren: we're watching the price of oil. this certainly made a comeback. in the after-hours it continues to trade higher, well above $46 a barrel right now. phil flynn, what a rally for the price of oil! >> oh, it is. oil producers across america are going yippee, thank goodness because they have been under a lot of pressure here for the last couple of days. i already heard from producers all over america saying donald trump, quit tweeting about oil. demand is good and you're killing the price, we will have to cut back. with the stock market bouncing back. confidence is coming back into the oil sector. i hope it is not too hate for some of these producers. i think already they made decisions to cut back on some production and spending after that big drop. so it might be too late to i

powell street. it stretched around the corner. >> just hope everybody has a good night, be safe. >> reporter: santa tom debelle says the city's rec and parks department denied santa-con an event permit for union square for safety reasons, but santas still showed up. >> this is going to happen no matter what. you're going to have 17,000 santas down here, whether the city likes it or not. >> what's up, santa-con! >> reporter: some totally dread santa-con saturday. this north beach cafe posted a sign telling santas to stay away because of too many problems in past years. >> thank you very much. >> reporter: extra police officers on duty keeping santas out of the street. the chief says keeping everybody safe is no easy task. >> we want to make sure that people are safe, you know, a lot of folks go out and they go to the bars and the nightclubs and all the essti >> reporter: so far, so good! the toilets have only overflowed once. >> reporter: she said despite the crowds and a little chaos, it is her biggest day of the year. last year san francisco police say they arrested about ten people for public int

powell gave. it left a lot of people feeling very shaken, especially equities investors who were holding out hope., we did not get that. we are in a general time of tightening financial conditions globally, and in the u.s., and now we have this kind of issue of the tensions between powell and trump, really feeling like it will reach a new level. and we have not discussed the trade war and the escalation and the trade tension between china and the u.s.. it's really difficult to change the tone of what it will be like. the nextve a look in 30 minutes to see how the futures on the s&p 500 open. of course, -- paul: of course the nikkei is closed. outhere are still bulls there, paul. there are people who say, we are in a time of elevated volatility. we got to understand that. 2019 will look very similar from a picture of heightened rolet. but there are bowls -- bob dole -- there are bulls. dahl. there's he is saying not a lot of data or anything to hang your hat on for the next few weeks. prevail,latility will he certainly things, and then january we will have more data coming out, with fourth-quarter

they were disappointed jerome powell was not as dovish as they were hoping.ome blaming the fed as selling continues one of the factors but treasury secretary steve mnuchin exclusively on this network with stuart varney, saying that if investors feel that way they're overreacting. >> i think the market reaction is completely overblown. if you look at the u.s. growth versus europe, versus the rest of the world, the u.s. is still going to grow significantly higher. you look at a slowdown in china and emerging markets. i continue see, when i speak to businesses i see tremendous investing dollars coming into the u.s., people investing in the u.s. connell: i'm joined by katy stockton, kingsview asset management chief investment officer, scott martin. fox news contributor. joining us in chicago. we're down 520 something, as soon as scott martin's face came on the screen. >> you started it. >> is a mess. katy we'll talk about the technicals with the market in a moment. scott, to you on the mnuchin comments. he has done this in couple interviews most recently with stu

powell street. it stretched around the corner. security guard dominique was busy checking ids and searching bags. >> i hope everybody has a good nightnd don't get too intoxicated today. >> santa tom the bell says the city's rec and parks department denied santa con for safety reasons. but santas still showed up. >> this is going to happen no matter what. you know? i mean, you're going to have 17,000 santas down here whether the city likes it or not. some totally dread santa con saturday. this north beach cafe posted a sign telling santas to stay away because too many problems in past years. >> thank you very much. >> extra police officers on duty keeping santas out of the street. the chief says keeping everybody safe is no easy task. >> we want to make sure that people are safe. you know? a lot of folks go out and they go to the bars and nightclubs and all the santa con festivities. a lot of drinking. >> this bar on grant street totally parked. managers removed the furniture to make extra room. >> so far, so good. the toys only overflowed once. it will get worse later. everybody has a great time. it is what it is. >> yeah. it is wha

i had exposure last week based upon my view that i thought powell would dial it back. he did i was hopeful we would get something positive out of argentina. we did so i had more this morning as well i think the market continues to rally into year end and we'll have a great close part of the january effect into december as we've done the last few years. >> the question is how much of a move can you get between now and the end of the year? you take out the two key pillars of risk, powell and the fed and now trade and china you said was the biggest development where you thought stocks could go. >> i stand by that we're holding a little bit let's see how the day ends the thesis you have to look to now the two key risks have been removed. we look to a repeat where companies have had good quarters they just haven't given good guidance what we'll be looking for is updates on the holiday selling season and industrials from these companies about how their quarters are doing if we get anything like a good preannouncement season you could see a christmas rally that will tear your eyes out >> coming o

powell? there are reports to set up a meeting for them to exchange views on monetary policy? scott: one would hopeny president, not just president trump, but any president would from time to time have some contact with the chairman of the federal reserve, meet with the chairman because the president wants to understand from our main monetary policy people what is going on, what is there view. right now i think a potential meeting has taken on a different kind of light because of the president voicing his opinion, which i think jay powell as -- is taking as just another opinion. there may be a lot made out of an actual meeting. from our perspective, that would not be a surprise. we would hope the president is in contact with the fed chair not seeking to influence the fed chair, but seeking to understand where our federal reserve and the people who are making policy decisions, where they stand and why they are doing what they are doing. david: thank you so much for being with us. that is scott wren from wells fargo. jay powell will be appearing with janet yellen and ben bernanke for a joint intervie

only about two hours away from an answer to what is in powell's suitcase >> the expectations right now, or i should say hopesll be one and done. we'll see. so much will hinge on the commentary in the 2:30 press conference >> deal or no deal, is there any chance of a surprise >> there's always a chance but, you know, pretty low i think the commentary is where it's at. >> open the briefcase. >> we will see for now carrying on with this question, scott wapner and "the half." >>> you bet we are, jon. thanks so much i'm scott wapner to hike or not to hike, that is the question and for investors it is the only question as stocks head for their worst quarter since the great depression can jay powell and company save the day? it's 12:00, noon this is "the halftime report." >>> spotlight on the fed the decision's coming two ours from now how will jay powell and company impact the market today and in the weeks and months ahead earlier this week bond king jeffrey gundlach weighed in telling the fed to stand pat >> the bond market is basically saying, you know, fed, y

the unemployment rates since president obama came into office, and we hope that we continue moving on the track and that jerome powellt he is doing, he says that he is open to a conversation about interest rates going forward, he is not saying that this is exactly what i will do an quarterly no what you say, it seems to be a responsible person here. i happen to take maybe the more liberal position on what steve mnuchin did, and think that that was a mistake and certainly put out a press release. but that's something that no one was talking about. i'm glad to see a little bit of a rebound and to the consumer confidence, $850 million spent is incredible. kevin hassett who i had not seen before do you wonder why they do not put out to people more often who are good communicators. representing the administration very well and was very clear with the policies and giving americans the cash in the park at that they can go out and shop. we have talking a number of times on the couch and on your show as well about how the administration needs good communicators out in front of what is going on there when you have an administr

hoped and unfortunately added more chaos instead of clarity. >> the treasury secretary tweeted out assurances on saturday that president trump won't fire powell. on monday, the president spoke to coordinate what government agencies can do during the ongoing shutdown. cbs news, the white house. >>> there is no christmas miracle to end the partial government shutdown. congress has gone home for the holiday. the white house continues to insist mr. trump will reject any budget deal that does not include money for a border wall or fence. democrats remain stiff in their opposition. senate minority leader chuck schumer's office says the parties are very far apart. nearly 400,000 federal workers are on indefinite furlough, not getting paid. some 400,000 others are on the job without pay. >>> in indonesia rescue workers are using drones and dogs to search for survivors of saturday's tsunami. the death toll another has climbed to 429 with at least 14 people injured. at least 428 people are missing. a number of hotels and hundreds of homes were destroyed or damaged. officials say the tsunami was probably caused by the collapse of a volcano slope which w

chairman powell: i think having regular press conferences will be a big gain for communication. i hope so. that is the plan. being able to come out after each meeting and explain the committee thinking, the state of the economy and expectations for policy and global issues, the idea is it will be helpful in explaining how we are thinking and, you know, explaining what we're thinking about policy going forward, so that is the plan. i do believe it will be a positive development. i do believe it will become the there willime that be no prior as to whether we would move and instead of a quarterly meeting or one of the meetings in which we do not file an sep. you know, we do this under the approach quarterly. i think we will move to a more -- we will have the ability to move at eight different meetings, not eight times, but at eight meetings. reporter: that is sort of the question i am trying to drive at in terms of communicating to the market because the market has to these rateed hikes, and now you have the potential to move eight times a year. thinking through how that is going to commu

hoping we can improve as we go. we have a handful of issues. a collision eastbound 80 in the berkeley curve around powell. the counter commute direction in emeryville. we did see flashing lights. chp is on the way to the scene. the vehicle is facing the wrong way. it sounds like we have one lane blocked. i am working on that. westbound 80 filling in from the richmond stretch, through berkeley, emeryville. no major issues for you. a closer look for those commutes as well. highway 4 to the maze in the green at 17 minutes. 8 minutes across the bay bridge. southbound 101, san francisco to sfo, n green at 10 minutes. >>> thanks, alexis. a stunning story out of fire-ravaged paradise. what a cleanup worker did that got him and two others fired and the response from the bay area company. >>> from the worst of the huanity to the best. the you can check off your to-do list and wish list. the moment you realize, at lowe's you can satisfy both your lists on a single budget. >>> other areas dealing with rough surf. northern california and southern california until 9:00 tomorrow morning. let's look at the weather out t

what the treasury had hoped and unfortunately added more chaos instead of -- >> reporter: the secretary also tweeted out assurances on saturday that president trump won't fire powelly the treasury secretary spoke with the president's working group on financial markets to coordinate what government agencies can do during the shutdown. elaine? >> the president also lamented on twitter that he was, quote, all alone in the white house on christmas eve, waiting for democrats to come back and make a budget deal to reopen the government. the partial shutdown is entering its fourth day and could last into the new year. here's chip reid. >> reporter: the house was in for less than five minutes today. the senate less than one minute. roros mbers are already home for the christmas holiday, giving the capital the feel of a ghost town. president trump tweeted today, i m -- in the white house waiting for the democrats to come back and make a deal on desperately needed border security. but there's no evidence the two sides are even close to a deal on ending the partial government shutdown. the president wants $5 billion from congress to help build a wall, or at least a steel sla

that started when came out, interest rates and jay powell's commentary on the economy was not as dovish many investors were hoping. when we didn't see that, carol, the market started to sell. it really continued into today. what about tomorrow? nike did have good results. corporations in this country can still make money? where do we go from here? i think there still will be overhang. the fed is something markets are incredibly focused on, certainly what is going on in washington, although it will eventually work itself out. still affecting the market. people are just very skiddish and while i think that longer-term, we will see this turn-around, in the short term, you will expect volatility, so there is something that you really like here, you may want to start building up a small position, but i don't think it is the time to go all-in. >> david, idea of finding stocks on sale, we heard that time and time again. people are having very tough time projecting what future looks like in kind of certainty. 20% certainty. i know you think the fed is biggest of those issues. >> absolutely. investors who do their homewor

little more hawkish in the market unless the market misinterpreted what do you think about powell and, i mean, hopeprings ete eternal that the fed gets things right. but a lot of times in the past the policy mistake is that they get too tight too quickly. >> i think there was a big misstep with the communication with the market on wednesday we saw a huge selloff. similar to his comments back in october. the good news is we saw how moderate his stance. he went from three to two and ultimately we think he is going to go one and we think there is a good chance he could be done at this point. powell iskeenly aware that he has to be very careful going forward. he has a slippery slope. there is some policy missteps that could happen. there have been 13 fed tightenin tightenings since world war ii and he has to be very careful going forward. he also mentioned now we're at the lower end of the estimates for the neutral rate he is going to be cautious going forward. i think actually at this point we're one and done or possibly we won't see any more fed rate hikes from here. if the market is any indication o

hoped, and unfortunately added more chaos instead of clarity. >> reporter: the treasury secretary also tweeted out assurances on saturday that president trump won't fire powell. today, the treasury secretary spoke with the president's working group on financial markets to coordinate what government agencies can do during the shutdown. elaine? >> quijano: all right, errol, ohank you. on day three of the partial government shutdown, both sides held firm. "closed" signs were up at federal offices. and some federal parks were off- limits, as the dispute over funding for border security drags on. chip reid reports congress won't reconvene until thursday. ( gavel ) >> reporter: the house was in for less than five minutes today. the senate, less than one minute. >> the senate now stands adjourned. >> reporter: moss members are already home for the christmas holiday, giving the capitol the feel of a ghost town. president trump tweeted today: "i am all alone-- poor me-- in the white house waiting for the democrats to come back and make a deal on desperately needed border security." but there's no evidence the two sides are even close to a deal on ending the partial g

investors were hoping for a slowdown in rate hikes and stocks which were up against a plunge as powell was speaking. the dow fell 351 points. its lowest level of the year. the nasdaq fell 147 points and the s&p was down 39 points. for more on the impact of the rate hike, we are joined by our financial analyst, george from morgan stanley. what you think? did the fed make the right call today? >> it was almost like the federal reserve walked into a dark room and they were afraid to trip on the furniture. they were moving very slowly. but they did make a move in the cost of funds and there is one camp that thinks they moved to quick and one can't think they moved too slowly. at the end of the day we have had 10 years of really low cost money. we created $4 trillion of debt on the federal balance sheet. >> what will be the practical effect for all of us average folks in this country of this latest rate hike? >> the short-term rate will go up. you will see credit card rates go up. it would be bad if you have credit card rates. cds we are starting to get a little lift out of that. that is a

powell made a mistake. what was that mistake? >> i think the markets broadly were hoping against hope, perhaps, that the fed wouldn't hike. if they did hike, would strongly signal that could be it. and while we certainly saw the fed chairman suggesting there was more uncertainty about the outlook, they lowered their projections for how many hikes they think might be warranted next year, the bottom line is, they're still signaling that further rate increases are likely from here. i think that was a disappointing combination for the market. on one hand saying there are developments we're concerned about. you know what? we're still inclined or think rate hikes would be warranted. that combination was very disappointing for the markets. connell: so, todd, were you disappointed? >> no i was not. it was kind of what i expected connell. first of all the fed should just be quiet, not talk anymore because it is always a problem. the other thing that they do, they never have gotten it right. in 105 years they have never done the right thing. they should have raised rates all along.

upward revisions to the prior month, so we know this, and jay powell is going to be focused on the data and he has already -- david: well i hope he's focused on inflation also because there hasn't been significant moves in inflation. that's what should move not whether the economy is growing strong. i don't believe in an overheated economy. >> yeah, but there's no doubt he's going to raise he loses credibility if he doesn't. >> absolutely. >> i think that's it next year. i think that the markets are speaking to him and he's already said in 2012 that investors know that we have their back, that was basically his exact quote. i think they're done at that point maybe that backstops the market i'm not sure. david: i want to get another market story in here that we've been following very closely. johnson & johnson shaving about 100 points off the dow today with its biggest drop in 16 years, this after a scathing new report, alleging the company knew for decades that its baby powder was contaminated with asbestos. let's go straight to gerri willis at the new york stock exchange what's the latest? gerri: david, reuters out with this

powell. reporter: the president once again publicly urged the fed not to raise interest rates. tweeting at one point earlier today, i hope the people over at the fed will read the "wall street journal"'s editorial before they make another mistake. stop with the 50 bs. feel the market. sarah sanders is saying the president is simply speak his mind. >> he talks about the fed. is he genuinely worried if there is a rate height to be that the economy will slow down. >> the president is stating his opinion that he's within his right to do so. that's one of the reasons people like him because he does that and he does it regularly. he understands the fed is an independent agency. that doesn't take away the president's right to state his opinion on a particular matter. reporter: the president will be heading to davos, switzerland for the economic forum. border security said they discovered an unfinished tunnel under the border wall in arizona. >> these tunnels are the discovery of them are a fairly regular occurrence along the southern border. in tijuana many have been discovered over the years. this one was in nogales, arizona.

powell. >>> the governor of california this week took the unusual step of ordering new dna tests in a murder case going back 35 years. an inmate on death row is hopingocent. jamie yuccas has more. >> reporter: it was a horrifying crime scene. douglas and peggy ryen, their 10-year-old daughter jessica, and a neighbor, 11-year-old christopher hughes all murdered. 8-year-old josh ryen, his throat slashed, barely survived. thofrts quickly had a suspect, an escaped inmate who had been hiding out in an abandoned home nearby. kevin cooper would be found guilty, sent to california's death row, and in 2004, was just hours away from execution when the 9th circuit court of appeals blocked it. years later, five federal judges in a dissent raised concerns that evidence may have been tampered with, writing, the state of california may be about to execute an innocent man. >> it's extraordinary and it's unprecedented to my knowledge in the united states that that many judges would decide that a person had been framed. >> reporter: celebrities like kim kardashian, legal scholars, and a "new york times" columnist among t publi expressing doubt that one man could have

powell street. it stretched around the corner. dominique augustine was busy checking i.d.s and searching bags. >> i hope everybody has a good nightfe. >> reporter: santa tom debelle says the city's rec and parks department denied santacon an event permit for union square for safety reasons, but santas stilled showed o happen no matter what. you're going to have 17,000 santas down here, whether the city likes it or not. >> reporter: some totally dread santacon saturday. this north beach calf faye pofe sign telling santas to stay away because of too many problems in >> tnkou very muta safe is no easysk. >> we want to le are safe, you know? a lot of folks go out and go to the bars and the nightclubs and all of the santacon festivities. a lot of drinking. >> reporter: tupeloar grand totally packed. managers removed all the furniture to make extra room for the yuletideght. >>so far, so good! the toilets have only overflowed once! >> reporter: she said despite the crowds and a little chaos, it is her biggest day of the year. last year, san francisco police say they arrested about ten people for public intoxication. no update on what ha

we hope to get a little bit more clarity in january. in terms of this discussion with jerome powellgether. hopefully they can discuss where they think the longer term neutral rate for the u.s. economy will be. >> sticking with us. we are going to say goodbye for mark cranfield. a new twist in the carlos gomez affair. details discussed by nissan, the former chairman will be re-arrested say -- today. >> usn china relations sink again. beijing of a decade of economic espionage. this is bloomberg. ♪ tensions between the chinese and the americans are coming to the folder again. china now saying two-way weigh relations have been seriously damaged. >> they do not support the stealing of trade secrets. tom mackenzie has been looking at this story. seemed to take two steps forward and one step back the whole time. >> you would be surprised that this indictment doesn't overshadow these talks. china has come out and pushed as we expected. china saying they are going to undermine cooperation between the sides. they do not support the theft of trade secrets. they won't washington group -- want w

powell and president trump. i think any meeting planned between those two would be a serious area of concern for the markets, and potentially politically precarious. my hopei-detente-- qua continue. jason: that is a phrase i feel we will be using a lot in 2018. thanks so much for spending some time with us. coming up, more on the markets. just taking a quick look at where we are at the moment. nasdaq nearing the session lows. the s&p and the dow also down. it seems like a long time ago up a thousand points, but it was just yesterday. this is bloomberg. ♪ jason: you are watching balance of power on bloomberg television. let's get the latest on the markets with mike regan. what's happening? what is going on? help me understand this. mike: once you introduce these wild swings in the market, both down and up it takes a while to, work their selves through the system. this is an unusual week. a lot of investors trying to settle their books for the end of the year. a day like christmas eve, monday, on almost 3% drop, we are getting into that area of quote unquote bear markets said in with major indexes down almost 20% from their high. to me, that is an interesti

hoping to avoid. nejra: is this a policy mistake and let's ask about the balance sheet. we heard from jerome powell that ridill be on autopilot should they tell the markets different? lawrence: i do not think it is a policy mistake. we still think the hikes next year are justified and it is interesting how much the market has changed. three or fourt hikes that some people had in and the market is pricing less than one hike for the whole of next year. i am sure mr. powell would he delighted i am in agreement with him. we think that two hikes is about right for next year, the economy in the first half of the year will be strong enough to justify further hikes. and it is getting back to neutral and beyond that there will be a softening in the economy, that will go on hold, the outlook for 18 months depends on so many things from trade to the economic fundamentals, who knows after that? nejra: why do you think they are on the right course given that your growth forecast is below consensus for the u.s. and what about inflation, that justify the path they are on? look at that drop lower. lawrence: what t

powell is expected to announce another rate hike. the president tweeting thoughts and objections writing this morning, "i hope the people over at the fed will read today's "wall street journal" editorial before making yet another mistake." also, don't let the market become any more illliquid that it already is. stop with the 50 bs. feel the market. don't go by meaningless numbers. good luck. the president wishing investors good luck. i need to remind you last year that tax overhaul, the massive corporate tax cut should have been a boost to corporations. those corporations should feel another boost because of deregulation. and there was a hope that stocks would go up and then you would see ceos trickle things down and increase wages. the fact that nob of this is ne occurring the market down in a significant way has a lot of people worried. >>> next, days ewa you from a government shutdown. you wouldn't know if from what seems to be a lack of negotiations between the white house and democrats. a shutdown before christmas. is it inevitable? makes no sense to me. all of this happening over a wall that was supposed to get paid for my mexico

hope for michael flynn's case, it does happen. if not, i think the president searcy needs consider a pardon for him. lou: hans von spakovsky, sidney powell you both. we appreciate it. up next, days away from a government shutdown. unless congress delivers what the president has demanded to secure the nations borders. and the safety of our citizens. we will have more on the do-nothing congress when we continue. stay with us. a business owner always goes beyond what people expect. that's why we built the nation's largest gig-speed network along with complete reliability. then went beyond. beyond clumsy dials-in's and pins. to one-touch conference calls. beyond traditional tv. to tv on any device. beyond low-res surveillance video. to crystal clear hd video monitoring from anywhere. gig-fueled apps that exceed expectations. comcast business. beyond fast. lou: last week our question was should congress remain in session during the holidays until they can fund the president's border wall and 9% of you said yes. the audacity to lecture republicans on values. >> republicans used to understand the actions of a president matter. the word of a pre

hope for michael flynn's case, it does happen. if not, i think the president searcy needs consider a pardon for him. lou: hans von spakovsky, sidney powelle it. up next, days away from a government shutdown. unless congress delivers what the president has demanded to secure the nations borders. and the safety of our citizens. we will have more on the do-nothing congress when we continue. stay with us. stay with us. i joined the army after 911, cuz, um, i thought that was what i needed to do. we got our orders to go overseas and i went to baghdad, iraq. we were transporting a bomb sniffing dog to the polling stations. we rolled over two anti-tank mines, it blew my humvee up, killed my sergeant. after the explosion, i suffered a closed head injury, um, traumatic brain injury, loss of a limb, burns to 60% of my body. when the doctors told me i reached my plateau, i did not want to hear that because i do not believe i have a plateau. so, i had to prove 'em wrong, which i am doing to this day and i will still do until the end of my days. i've gotten to where i am at because of my family. and, the wounded warrior project has helped me more tha

hope for michael flynn's case, it does happen. if not, i think the president searcy needs consider a pardon for him. lou: hans von spakovsky, sidney powell appreciate it. up next, days away from a government shutdown. unless congress delivers what the president has demanded to secure the nations borders. and the safety of our citizens. we will have more on the do-nothing congress when we continue. stay with us. we are coming right back. folios to your goals and needs. some only call when they have something to sell. fisher calls regularly so you stay informed. and while some advisors are happy to earn commissions whether you do well or not. fisher investments fees are structured so we do better when you do better. maybe that's why most of our clients come from other money managers. fisher investments. clearly better money management. i am not for just treating my symptoms... (ah-choo) i am for shortening colds when i'm sick. with zicam. .. lou: last week our question was should congress remain in session during the holidays until they can fund the president's border wall and 9% of you said yes. the audacity to lecture republicans on valu

hope i'm not letting you down. connell: i like casual. jon hilsenrath, listening to all of this, we'll get analysis, since jay powell questioned neutral ratesthird, the dow has shed more than 3,000 points. something charles payne talked a lot about on this show. from here on out, the volatility we're seeing does it continue or something said or done tomorrow put an end to it or slow it down or make it worse? ryan payne joins us from payne capital management. and jeffrey payden & regal. from those infamous jay powell remarks we have had some ride in the markets. will that continue or is the fed getting a grip on it? >> it could go either way. if you look what is priced in. bond market is okay with one more hike. pretty much nothing is priced in for 2019. if tomorrow they do hike, they still stick to three rate hikes in their 2019 outlook, i mean i think that could ruffle some feathers in the marketplace because that means we still have a few more hikes to go. the bond market has something very different in mind. that tension there i think is important to note. connell: so in your view then, ryan what is leading to all of this volatility in m

powell's words. theresa may pushing back next week's brexit deal while the eu takes a wait and see approach. fading hope for and opec pact. talks and without a press briefing. extends losses to 51 dollars a barrel. are gainingutures this morning, although u.s. equity futures are down. setting us up for an interesting trade after the roller coaster ride u.s. stocks went on yesterday. we have treasury yields coming down today, so investors are buying that safety, buying u.s. 10 year debt, pushing the yield down to 2.87, 2.88%. what do you see on the gmm? anna: at the same time, tentative buying of the asian equities session, but more of a stabilize nation. -- stabilization. it was a rocky ride on wall street yesterday. it was incredible in europe, down by more than 3% on the cac, dax, ftse at the close. we have seen such discrepancy between european futures and u.s. futures. by .4%tures point down and in europe, we expect a bounce at the start of the trading day. we will see with the afternoon brings, and the jobs report. let's see where we are on asia and more broadly, equity markets that are currently o

hope he is right, i'm not rooting against you. i would love it if this economy's doing much better than i believe, but sadly i think powell's the one who's wrong and his apologists they must have no sense or empathy for what's ability to happen to the working person in this country know that. president trump picked a man who turned out to be very independent. independent federal reserve chairman that is terrific for the institution of the federal reserve. it's not so terrific for the economy, and the president is really right to worry about a possible recession this year he's spot on the president's spot on because as i see it, powell's pretty much saying he may need to take rates higher to slow down hiring, a hiring slowdown is going to lead to a recession pretty easily. if i were running trump's re-election campaign, you know what jay powell would be my worst nightmare. he's an old school inflation hawk who's as confident in the economy as he was back in the beginning of october but he's now mindful that others, others think differently, not him that's what changed. there's some real cosmic irony in the fact that if president tru