we will ask jane foley in a moment.'s rip through the market, stabilization in china did little to embolden the u.s. equity trade. deleveraging in china, has it passed its peak? for the guests, not me. the peak last week was 126. you have repriced off the two-year, one and a half year peak. dollar at a one-year high but will it last? and the turkish lira above 10, you are looking at the risk again in emerging markets, one of the worst-performing currencies this year. another rate cost maybe penciled in from the central bank of turkey, what would that do to the currency? weakness is the trend. dani. dani: let's get into that. we have inflation concerns persisting. secretary janet yellen and others all weighed in on the issue. >> the pandemic has been calling the shots for the economy and for inflation. if we want to get inflation down, i think continuing to make progress against the pandemic is the most important thing we can do. >> the challenge is the high prices families are paying, those are real and people are exper

jonathan: let's start that was jane foley, head of fx strategy at rabobank. th the incoming data, cpi this morning, it actually means -- what does it actually mean for the federal reserve going into next year? jane: to be honest, i don't think we will answer the question of whether or not transitory is gone, just by looking at today's data. if it comes in a lot weaker, maybe some of the less inflationary are going to say this is transitory, but i think where the answers have got to be in the wage inflation because it is only when we see wage inflation that we will be able to tell whether or not there are those second-round effects. one thing i think is going to be quite somatic for currency markets going forward over the next six months or maybe even beyond is that not all labor markets are the same. they are very different. you have more flux ability in the u.s. come up prep -- more flux ability in the u.s., probably more wage inflation. that is going to be really important in trying to judge interest rate differentials and fx going forward. jonathan: most th

jane foley's target at rabobank was 112. we are through that. so where do we go next?s to give us an idea. we got through 112 yesterday, bounced a little bit today, now what? jane: that is the question. 110 does appear to be looming. but i am not really ready to say we are going there, not in a hurry, because it what worries me that there is an awful long already in the price. if we look to see with the money market is anticipating from fed interest rates next year, it is about 60 basis points or so, that is fairly aggressive. if the market thinks, maybe that is too much, we need to backtrack on that, there is potential we could see correction in the euro-dollar, before we go lower again. yes, i have been a dollar bull. i have been anticipating the -- -- the dovish tone of the euro would keep it soft, but given how far we have come, i would feel better if we had more of a correction, some of the long dollar positions taken out, then we re-examine the fundamentals and look at the next payrolls report, wait for the fed and see what they do. then come back again. guy: do