green across the board after said chair janet yellen's speech.prises in her comments so why did stocks get such a big boost today? dani burger is a stocks reporter at bloomberg news. what are you hearing from traders and investors on why we got such a big boost? >> certainly we got something to take stocks out of neutral. they can geteason here, they had yellen giving them these dovish comments. sort of helping with the more hawkish comments we got from the fed governors speeches. investors see that and it confirms this view that they have had and it really helped to get stocks out of that neutral territory. carol: i keep wondering that if the fed has to keep rates low, it needs the economy isn't doing so great, right? typically even as the rate start to rise the markets go up for some time afterwards. i'm trying to get an understanding of the psyche of the market. dani: it is this really difficult economy between deciding what is important to trade on. looking out in the distance, is the economy heading towards a recession? i think investors hav

is a three-hour program brought to you by janet yellen. rought to you by janet. david: with this for the hour, cheap investment officer with more than 200 $50 billion in asset management, so it janet yellen says -- chief investment officer with more than $250 billion in asset management so what janet yellen says matters. doug: it certainly does. for today, that is good news, but the longer term, it is scary. goes back to that volatility chart, so we are seeing not only of the markets dependent upon what central banks are doing, but it also increases the volatility of volatility, so we will see cops and downs. i would not be surprised if we are back here in three months and that charges back up to where we are not too long ago. jon: futures going into the open, pushing higher as they ever have been all morning. s&p 500 futures up 12, dow up 110 and you will notice that the by ai in japan was lower couple of percentage points. the weaker dollar fitting into the dollar yen and down by .1 of 1%. this really interests me and we will talk about i

it's janet yellen.arkets, equities in particular, love a dovish fed chair. >> i think it shows two things. one, she's in control here, not the markets. in terms of dictating how they should be trading and what her vision for fed policy is. she defined what data dependence means to her. she's wary of the inflation creep up that we've seen. she's wary of the international developments and of course the stronger u.s. dollar. and she also controlled the message on the federal reserve that had been blurred over the last few weeks with other fed presidents coming out and saying april is a live possibility. well, guess what? all the economists writing overnight she took april off the table, maybe even june. let's start talking about september. >> the question, of course, as you raised in the first half of the show, how long will this rally last? to know it's going to last a little longer than those temporary rallies we saw will be to watch volumes. volumes have been incredibly low the last couple weeks, partic

that is a message from janet yellen. dovish tone, spelling out what the fed rate hike will be. that is the story. as we see equity markets higher over in london, indicated up 50 points. and u.s. futures. anna: getting a boost from what janet yellen had to say. we will be back, in a couple of minutes. ♪ manus: cautious tone. janet yellen once again insists rate hikes will be data-dependent as she stresses a gradual approach to tightening. japan's industrial production plunges by the most since the 2011 earthquake. falling exports sap demand. a worst-case scenario. billion, airbag maker to cut to is set to estimate the potential price of the biggest recall in history. shares plunged 20% in tokyo. brazil's largest party pulls away from the ruling coalition in the latest blow to embattled president rousseff. good morning and welcome. it is "countdown." i am manus cranny. edwards.m anna the equity markets in asia got a boost from what janet yellen had to say, gradual and cautious, some of the words she was using to describe t

it is all about what janet yellen said yesterday. r stocks -- in europe they are getting 1.4%, after chair yellen reasserted central banks' gradual approach to raising interest rates. let's get straight to the bloomberg first word news with vonnie quinn. forie: it is a major blow brazilian president dilma rousseff, just weeks before she faces an impeachment vote in congress. the balance may be tipped against her as speculation continues that other factions may be against her. the -- ans deepening --esty law is being aimed at since taking over congress, the opposition has had several key decisions overturned by venezuela's supreme court. a panel says david cameron should present a positive vision of the e.u., making a case that remaining in the unit would be all income brackets per greece is poised to take in tourists that turkey is losing. a record 25ts million this year. turkey says the number of arrivals fell last month. and russia has banned tour operators from sending people there. republican presidential candidates are backing of

janet yellen not helping out the ecb and boj. think janet yellen got the memo about not going through the fx channel. >> it was a similar story in terms of commodities. i'm looking at the broad strokes, a big spike up, definitely oil up 6% come already rallying off of relatively bullish inventory numbers we saw earlier in the day, but gained a lot of after the fed came out. a lot of love. today's market minutes, now a dive into the bloomberg. is the updated. plot from the fed. dot plot from the fed. you can see how dovish the fed has continually gotten. at the end of the december meeting, the median expectation for rates was 1.3%. .9%, two raten to hikes. this speaks to the velocity of this move. that red line is the market expectation and the green line is the median dot. the market was right. this goes back to the argument we have been having for many years, is the fed beholding to the markets or the market beholding to the fed. >> in terms of the market action, i'll switch over here, this is wirp on the function. we are lookin

it is all about janet yellen's dovish tone yesterday.he is giving a nice little boost to emerging markets. theoost to london minors, biggest gainers, crude oil. the german retailer that has decided to split into two entities up 8.3%. let's get straight to the bloomberg first word news, nejra cehic. nejra: japan's industrial production has dropped the most since march 2011 earthquake. domesticill explosion production at toyota. slumped 6.2% after rising in january. economists surveyed had forecast a 5.9% drop. brazil is in battle -- brazil's embattled president has suffered a new blow. party held six ministries. she denies any wrongdoing and there is a corruption scandal that is reached the highest level of government and business. a vote on her impeachment is expected in the middle of next hadh. shares in the cotter takata have plunged this morning here at -- morning the worst-case scenario would involve millions of invaders. -- of inflator's. global news, 24 hours a day, powered by 2400 journalists in more than 150 news bureaus around t

janet yellen: good afternoon.or more than a century, economic club of new york has served as one of the leading nonpartisan forums for the discussion of economic policy issues. it's an honor to appear before you today to speak about the federal reserve's pursuit of maximum employment and price stability. in december, the federal open market committee raised the target range for the federal funds rate. quarter by one percentage point. it's a small step. it marked the end of an extraordinary seven-year time during which the rate was held near zero to support the recovery from the worst financial crisis and recession since the depression. recognizedees action the progress the u.s. economy has made in restoring jobs and incomes of millions of americans hurt by this downturn. that theeflected economy would continue to strengthen and inflation would move up to the objective as the transitory oil prices and a stronger dollar dissipate and the labor market improves further. in decembere stated and reiterated at two subseq

falters aheadly of a speech by janet yellen. the u.s. drops its case against apple. ♪ francine: welcome to "the pulse." europe's headquarters. for a lot ofture the european stocks. stoxx 600 0.6%. this is a concern there are more stockpiles in the u.s. next line -- u.s. we are expecting japanese prime minister abe to give a news conference in an hour from now. let's get straight to the bloomberg first word news with nejra cehic. nejra: negotiations are continuing with a hijacker who forced in egypt air alexandra to cairo plane to reroute. an majority of passengers were released. one hijacker said tesh is said to you wearing a bomb belt. -- is said to you wearing a bomb belt. a case againstd apple after successfully hacking into the iphone of a san bernardino hijacker -- san bernardino terrorist. apple says the court case should've never been brought. police have shot a man after he pulled a weapon at a u.s. capitol checkpoint. officials have identified him as larry dawson of tennessee. he was previously known to police who arrested him l

janet yellen's comments yesterday.hief investment officer of fixed income was on bloomberg tv earlier today. he claimed why this was so crucial for the -- for the fed as well as central banks. fed butust the everybody, first of all, get your currencies weaker. that is basically what they're trying to do and so far what we have seen in the recent time frames, the ecb and the boj have not been successful in doing that. yesterday's announcement and the previous more dovish fed, the dollar has weakened off the highs. that is a positive because i do not think the fed wants the dollar to be the strongest currency in the world even though it probably should be given economic outlook in the u.s. >> looking at the treasury curve in the moment, just with the data that came out this morning, the longer it is off, the front end gets pretty anchored. far as it relates to the high-yield market, i hope so. it is a good signal that things are getting better for the economy as a whole. the curve has been right around 100 basis points f

they are holding out for the janet yellen speech happening midday, we will have janet yellen discussingmic policy. the euro-dollar is holding onto the gain. the dollar is on the weak side but brent crude is down. we have had none other than kevin noris worry that we could see oil back below $30. bearish news happening in the markets. the s&pere in the u.s., is down and in the red but the nasdaq is coming into the green here. abigail doolittle has the latest at the nasdaq. we have some tech movers including skyworks solutions. abigail: sky works has been trading down today. this is the apple chip supplier. and analyst has taken his rating down, warning the risk level is more balanced, following the rallies over the new iphone. he is also saying that the smartphone market appears to be shrinking. not a good thing long-term for sky works. interestingly, the price is above where the stock is trading now. so perhaps a housekeeping issue there? betty: any other tech stocks in the news? abigail: the wall street journal is reporting that yahoo! is setting an april 11 deadline for primarily bids

today, live coverage of federal reserve chair janet yellen's speech at the economic club of new york.o get through it without moving markets. that will be challenging. will give questions to chair yellen. this is "bloomberg surveillance." ♪ tom: the chair speaks. the president of the specifics speaks. who is this, from singapore? vonnie: john williams is delivering a speech right now in singapore. he says the fed might actually make his target sooner than two the last couple of months of cpi looking good. he is also saying that the data -- they are waiting to see if the data are a mirage. tom: it is a good time to have onset, angel gurria, with the oecd. right now, on disinflation and inflation, james sweeney at credit suisse is adamant that our fears of inflation are overdone. do you agree? should we be worried about deflation? angel: no, we should be worried about deflation and worry about the amount. the badkind of the -- kind of deflation -- when the oil drops you will get a reduction in the prices. youa lack of demand means have to do something on the other side. we have been foc

janet yellen cited the experience in japan. obviously, there are negative or zero interest rate for a long .ime i think some of the members are beginning to sense that negative interest rates and a lower year ago does not assist -- is not necessarily effective when you get to zero globally. tom: does today's press conference amend your portfolio? you make immediate changes? bill: to some extent. it is a more dovish fed. stan fisher has been [indiscernible] theanet yellen in terms of formal policy. i think it's interesting the market, in terms of expectations for libor and fed finally anticipates a 30 or 40 basis points a year for several years. the fed is still looking at a hundred. so the fed is way above the market. and to the extent that the market is lower to a certain extent, treasuries are fully priced at the lows. scarlet: the fed sounded very dovish in today's statement, even the fundamentals improve. the lifetime track of the domestic economy shows a sub 2% growth rate right now, which is where it was at the december f

yields are little bit lower going into janet yellen's speech. usly, i everyone is watching yellen. jonathan: she is really pushing this agenda that europe doesn't work. everyone goes on holiday. productivity, we will talk about that. first word news now. the hijacking in cyprus is over. according to cypriot officials, the man who hijacked an begich an airliner has been arrested. there are no reports of anybody being hurt. the hijacking had nothing to do with terrorism. there are reports that the hijacker's ex-wife lived in cyprus. it is a victory for apple. the u.s. has dropped its case against apple after gaining access to the data on an iphone used by a terrorist. the had gotten a court order to compel apple to help, but the company resisted. last week, the company found a third-party to help pack into the phone -- hack into the phone. 7 million americans are now portable to man-made earthquakes. highest risk include oklahoma, kansas, and texas. news, 24 hours a day, powered by 2400 journalists in more than 150 news bureaus around the world. i'

. >> show you the ten-year treasury note at this hour ahead of janet yellen. she'll be speaking during the noon hour eastern time at the economic club of new york. not moving but importantly sitting below 1.90 on a batch of economic data yesterday somewhat disappointing. more on markets in just a moment. but first, a developing story out of cyprus. a hijacked egyptair flight landing at an airport in cyprus early this morning, according to authorities. an egyptian hijacker claiming to have an explosive belt holding 11 of the passengers hostage over what authorities are calling a, quote, personal matter. flight ms-181 was on its way from alexandria to cairo, according to the airplane. the flight had 82 passengers, including eight americans. we will keep an eye on this story and of course bring you any developing details as we get them. >> indeed. so that flight has landed, and the hostage taker has released the vast majority of people on the plane so far. we'll bring you any developing facts on that story. >>> this morning's top corporate story. the high-profile

it's something the fed itself, janet yellen, acknowledged in her statement. she did say the unemployment rate remains low, 4.9%. there's been improvement in the jobs market. there's been improvement in inflation. she signaled some caution on inflation, but she specifically called out the global economy and financial market risks, which is something that investors have been pushing for in the fact that they pared down -- she looks at that and they're paying attention to that. the fact she was cautionary, it seemed to be a react of the fed gets it. she gets it. she gets what we've been trying to fraforecast for so long. there was a lot of volatility at the beginning of the year on this idea that the fed is overly optimistic and disconnected from the market. the fed is expecting four rate hikes. well, the market isn't expecting that. so there was a sense of catch up. we'll see if it lasts. >> exactly. how long will it go on for? we also have the bank of england today. no surprised expected there. we get another round of economic data to consider. weekly jobless

we have been talking about janet yellen all morning.hile in some ways, she's saying, look, the domestic picture in the u.s. is just fine, they continue to be worried about what's going on abroad, specifically with china. when we talk about this transition to a more consumer-driven, services-led economy, based on the data and patterns you've been watching, do you think the government has a proper handle on that transition? >> actually, on an underlying basis, china's economy is improving as we come into q-2. a lot of the problems we saw in q-1 are moderating. a key part of that is the property market is beginning to stabilize. this has been the longest awaited recovery in china's history. we started seeing the market pick up in q-2 last year. didn't really feed into much activity, but in q-2, now we're beginning to see some of the real activity in terms of actually people putting construction stocks on the ground, excavator sales going up. that's beginning to kick in at the same time. but the key problem really, even if china's economy r

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the big question, what will janet yellen say about the future? >>> decision 2016, hillary clinton and donald trump add to their win columns, but new this morning, a victory by john kasich in ohio raising all kinds of questions about the possibility of a contested convention. >>> and a stunning blow to investors. well-known hedge funds lose more than $5 billion in one day as valeant suffers another stock rout. it's wednesday, march 16th, 2016. "worldwide exchange" begins right now. >>> good morning and welcome to "worldwide exchange" on cnbc. i'm sara eisen. >> and i'm wilfred frost. a packed agenda this morning, from markets to election season mayhem. we have it all covered for you over the next hour. let's start with a quick check of the futures board. our u.s. futures, of course. yesterday we had the slight negativity, low volumes. we've had the two lowest volumes of the year to start off this week. today we're expecting a slight bounce. the dow by 24 points. with those low volumes, you could certainly say we're treading water ahead of the fed'

wall street rallying with fed chair janet yellen dovish comments.responding favorably. let's go down to the nyse where lori rothman is standing by. lori. >> ashley, all the asset classes are responding earlier how you for dovish fed. gave investors exactly what they want to hear. hiking interest rates this year and beyond essentially. dow transports. all leading indicators. look at banks. as you know, banks, don't always do as well in lower interest rate environment. look atta. you have red down the board there. bank of america, all the big main line banks are in the red today. wells fargo off one quarter percent. comerica, lending off two%. specialty drillers. oil came off a couple bucks as well. not all green on the screen. ash, as you point out. march on track for winning month. first one. ashley: we'll take it after a rough start. lori rothman, thank you very much. march is on track for first winning month for s&p 500 since november, actually. benchmark index closes higher it would snap a three-month losing streak. joining me lee munson, cofound

maybe after janet yellen speaks today. robin griffiths, chief technical strategist at the ecu group. thank you for joining us. well, get in touch with us nice and early because we want to get your views in, your questions, your comments. get in touch. the show's address is streetsignseurope@cnbc.com. and you can always get in touch with me directly on twitter @nancycnbc. >>> meanwhile, coming up on "street signs," the bidding battle for starwood is raging on. but do we have a winner yet? we will get you the latest on that war after the break. why do so many businesses rely on the us postal service? because when they ship with us, their business becomes our business. that's why we make more e-commerce deliveries to homes than anyone else in the country. here, there, everywhere. united states postal service priority: you >>> a passenger plane en route to cairo was hijacked this morning and force toddy vert to cyprus. according to egypt air's twitter page, negotiations resulted in the release of most passengers on board, exce

janet yellen's comments helped boost stocks in china, the shanghai composite index up 2.7%. in japan a stronger yen hurting stocks, the nikkei was down numb 1.3%. oil prices sinking for the fifth day in a row and up this morning, reversing the down trend, crude trending 1.8%. nicole: the battle over a terrorist's phone is over but the war over privacy is just beginning. lauren: boeing announcing it is cutting thousands of jobs, we will tell you where. lauren: in sports the golden state warriors are closer to maxing the bulldogs and it will also be 3000, and george washington in the final tomorrow. those stories and more coming up. it is 5:01 on wednesday morning march 30th on "fbn a.m.". nicole: ted cruz getting a major endorsement from the state's governor, scott walker, a week before the crucial primary. during a town hall event in milwaukee donald trump saying he would no longer honor his pledge to support the eventual gop nomination. >> will you pledge whoever the republican nominee is? >> no. we will see who it is. i have been treated very unfairly. by basically the rnc

they predicted what janet yellen said yesterday.tter than the strategists did. from my kind of job description, you have to respect the markets, but you also have to see what this means. there was a lot of positioning. there was positioning for a more hawkish message. that beginning to trust the markets now, go further because the market were right and the people in them to some degree were wrong. that will extend the trade. not underestimate the need of the global investor community for yield, for better returns, which means they will stretch some of this move into high-yielding currencies and assets in search of better return. i want to respect that for as long as it takes and drinking guinness for the same time. steven: it is quite clear the flow is coming from places like japan. you can see it in the emerging sovereign markets and credits. there have been big monthly outflows.an increase from low yielding or negative yielding parts of the world into dollars and dollar put up is clear. if you look at the basis swap, that is the y

did janet yellen just screw the ecb and the jack -- bank of japan? i am sure she would not put it that way. you janet yellen would tell , if you had her on camera right now, is that the fed's business, as defined by congress, is to do what is right in terms of his dual mandate or the united states of america. ofe or less irrespective whether the people in frankfurt and tokyo get up and applaud or around -- frown. i'm sure that is what she would tell you, and that is an honest answer. tom: helpful is the punch bowl right now? a lot of accommodation, dovish talk. mentioned,ome have an asset bubble? in the 19 50's, maybe you needed a punch bowl, but now we need a swimming pool. that is the amount of liquidity we have. , you have tost answer that the way i would, which is on balance, the policies have been supportive. there may be unintended negative consequences down the road, but i'm not in the camp that we are bubblethrough a great mania right now. essentially, the fed has lowered the discount rate to support asset valuations at healthy levels given a

they are awaiting a speech from janet yellen. the justice department dropped its case against apple. they say they can break into an iphone without their help. the global debate about privacy and security is not over. let's head to the market desk. julie: stocks are coming back a little bit. are not seen much change overall is the bottom line. the nasdaq has turned higher. it doesn't seem in addition to janet yellen the oil is driving the bus today. oil prices have been lower today and accelerating their declines. 3%, at one point they dipped below $38 per barrel. industry numbers tonight. we will get government numbers tomorrow on those weekly oil inventories. that affects the market. given that the klein oil, if you it lookshe bloomberg, like a mixed picture when you look at the green and red on your screen. energy in particular is down more than 1%. we did have barclays out with a note today saying the advance in commodities that we have been seen is not justified by the fundamentals. that appears to be weighing on stocks. vol

raisephil janet yellen the rates. we will explore. -- will janet yellen.k: you are watching the european close. i am mark barton in london. alix: the federal reserve is getting ready to wrap the two-day meeting. highly rate hike is unlikely. we could can idea of future increases. >> senior fellow at the milken institute joining us from los angeles. i would imagine this is a time when they are sitting down to his and witches and drinks. nearing the end, a statement coming out soon. when you look at the economic backdrop, what do you think they were most concerned about? i think they have to take into account the fact that the core consumer price index number is out.e out today they had a number yesterday that was down. overall inflation on cpi has been dropping and industrial production shows to be increasingly seeming to be in a recession. while the unemployment rate has gone below 5%, the participation rate is still very close to historic lows from the late 1970's. it is a tough situation to violence. on top of that, the ,nternational circumstances which

i'm mark crumpton. .lix: thank you so much janet yellen's call for caution in raising interest rates is giving a boost to risk asset for a second day. all three major u.s. indices are up after yellen's dovish remarks at the economics club of new york. the dollar also off for a second day extending its worst month in more than five years. dollar guest says weakness may be more than allusion than anything else. netmail he is and greece strategists. he joins me now -- is an equity strategist. how much more downside you feel is left for the dollar? matt: it is going to be very interesting to see because we have the dxy index which is a basket of -- the dollar versus a basket of other currencies. it has been making a series of lower highs -- higher highs and lower lows but it is still within an 18 month range. it's going to have to break below 93 before we can really say the big rally we saw throughout the second half of 2014 and well into 2015 has come to an end. a lot of people are getting psyched up about this but we have to see it get more week or drop below that range we have been in

speech, janeter yellen endorsed rate hikes. risk of the outlook, i consider it appropriate of the committee to proceed cautiously in adjusting policy. this caution is especially warranted because with the federal funds rate so low, the foc's ability to respond to economic disturbances is asymmetric. alix: gabriela, that is pretty dovish from a yellen. it was pretty dovish, but a departure from what the others said. it is interesting that you mention the taylor role. if you think of them mandate in relation to the unemployment rate, we believe we should be hiking at a much faster pace. we clearly saw in yellen's remarks she was concerned about what is happening overseas, what is happening in financial markets. alix: the rhetoric out of this was that it was very dovish. in a light volume day, the nasdaq up by almost 2%. what a surprise we did not see an even bigger rally? gabriela: i do not think so. the market was already accepting to rate hikes at most. say, ofrmation, let's that speech. the movemental is in the dollar down. at

we are suggesting we -- that need more janet yellen more fed.t half year, what about quarterly monetary policy reports? a better go towards overseeing process in fed accountability? there are people in congress not looking for accountability, they are just heating up on the fed. sharing more information with congress will not influence those people. but i think there are people in the middle who are not comfortable with the view of the fed as -- don't change anything and the rather extreme view of -- let's really change a lot. what i have been looking for is that middle ground that would allow elected representatives of the people to get a better handle on the fed them for the fed to find ways to communicate with congress without surrendering their independent to make monetary policy decisions, which i think is important. what about establishing a process to obtain and publish the views of outside experts about key policies before each set of hearings? as you know, don cohen, a former vice chair of the fed and one of my colleagues, has suggested

janet yellen wants her options.ink i have said before, typically, some who buys an option has to pay a positive price. so far, she has maintained maximum option analogy without having to pay the price. certainly, she will want to maintain that. back in january, when the markets were selling off in a look at the world was coming to an end, i said the world will look different in a couple of months and it's important for the fed not to get to sleep by the data points. in her own way, she may remind people that it makes sense to step back, as they had done. so there may be a little pat on the back. scarlet: a bit of a victory lap for the chair. thank you, richard clarida. all day we are bringing you coverage. later on, alan blinder and gross. ♪ worldt: from bloomberg headquarters in midtown manhattan, this is a special report, "the fed decides." it is time for the bloomberg business flash. linked in's says future is not as bright as once thought. morgan stanley is slashing their price on the shares. analysts say they s

do you expect janet yellen, do you expect janet yellen to be a little more hawkish in her content? >> i think, actually, the market uncertainty a little bit. there was a lot of market volatility. it seems like the market has stabilized a little bit. we are basically down 1%. down more in the global markets. treasury market. i think that the markets have stabilized. i do not inc. that the economic outlook has gotten any clearer. the reporter was talking about transparency. basically, as confused as the market about the direction of the future beard therefore, not really holding. not really act and aggressively at this point, which i think is the correct approach. ashley: peter, anything in this report that speaks out to you before we hear from mrs. yellen herself? >> yes. just a little bit of economic announcement. activity has been expanding at a moderate pace despite the global economic and financial developments in recent months. they will be holding up okay. global economic and financial developments. as a result of all of this, it has lowered its gdp growth forecast from 2.4% b

financier janet yellen speaking the language of culture. >> yes, the federal reserve chair janet yellen says the bank will move cautiously as it weighs the health of the global and the u.s. economies. she has made it clear that raising interest rates too soon could put the brakes on goal growth. chair yellen: i think it is appropriate to proceed cautiously with interest rate policy. reporter: janet yellen troll comments boosted markets worldwide. be loose monetary policy is set to continue for now. the reasons have little to do with the u.s. economy. china has been knocked off balance. oil exporters are slashing investments. oil reconstruction and less of the black gold changing hands of the world market. americans could suffer. the fed will proceed carefully when it comes to raising interest rates. in 2006, the central bank began cutting the base rate to shore up the economy. the fed decided to change direction in december. the bank raise the key rate to the current level of .5%. many economists are betting that the fed will not opt for another rate hike at its policy meeting in april.

everyone is awaiting janet yellen's speech later. ave seen a lot of focus coming through into currencies. the offshore chinese is weak. 6.50 159. the kiwi along with the korean -- ahead of yellen's speech. guy. guy: juliette saly joining us. you into the battle of the charts. i am going to start. it is my prerogative. hans nichols can go second. i take you to this chart which is one relating to the treasury. what it is showing is we have a situation where increasingly money is being taken out by sovereign welfare -- wealth fund and being replaced in the treasury market. we do not have accurate data. the data that we saw here is proxy that they use to determine hedge funds. we saw a sharp spike. that we about this is could see more volatility in the future. significantly more. around events like today with janet yellen speaking. hans: that is a fair point. i'm not going to preach judge -- .'m not going to prejudge this i build discharge in mind with some of his predilections. looking at individual countries and you look at these are in

janet yellen says the u.s. economy has been resilient in recent months. yellen: since the turn of the year, concerns about global economic prospects have led to increased financial market volatility and somewhat tighter financial conditions in the united states. economic growth abroad appears to be running at a somewhat after peace than thanously -- pace previously expected. these have not resulted in material changes to the committee's baseline outlook. markus: we will take a look at the close to look for market reaction in a moment. first, the u.k., where the finance minister has warned that the leading global economy is making the outlook for the u.k. economy more difficult. as he unveiled his yearly budget, george osborne said the growth in britain will be weaker than previously expected as a result. reporter: george osborne has now presented six annual budgets to the house of commons. every year, the keyword has been "austerity." the economy is strong, but the storm clouds are gathering again. our response to this new challenge is tap now so we don't

with our market the janet yellen of rally definitely continued into the day. the s&p and the dow extending the 2016 highs. the s&p higher for a 30 day. i should point out that we are off the highs of the session. the dow at one point was up 137 points and now is maybe 100 points higher. part of that had to do with oil. oil really lost steam in the middle of the day, kind of tracking stocks down a bit with it. but the nasdaq, that was a big winner of the day. in part because of apple ,onceding its best rally rallying to a three-month-tracy: you mentioned oil just then. i want to bring in currencies because we are seeing a move in the dollar off the back of yellen's dovish stats from yesterday. five-your local man off the back of that we have the emerging market currency rally specifically being led by the russian ruble at the moment, which is really having a big, big jump against the u.s. dollar, and of course, the brazilian real. alix: we had volatility in the currency market but not really in stocks. this cool chart comes from oliver renick and it basically l

the janet yellen rally has resumed.he dow and the s&p hitting the highest levels of the year after the federal reserve shale -- chair expressed caution. on pay for the biggest monthly gain since october. caroline: then are bloomberg exclusive with bill about how he hopes to start economic turnaround after the nation was hit by plunging oil prices. finally here, tesla getting rate unveil its most important car yet, the model three. feasibleost now a more $35,000, about half as much as a flagship model s. elon musk, a mass-market player. let's head to the markets where julie hyman has the latest on the markets. yet again, the fed induced rally. betty: day two of the yellen reaction here. it is a presumption of the rally a batch ofr commentary than iraq -- interrupted by other federal officials say we are not quite as dovish as all of that but janet yellen coming back and saying yes indeed we are. like thatappeared to and we have seen the rally continue across the board. i want to take a look at futures on bloomberg. proba

charles: janet yellen in the new housing data. let's go right to the man himself and the robert shiller with the action. janet yellen in a war within the federal reserve. it is pretty clear that some of these folks inquiries should be higher. they should be liz: rate hikes. they be trying to reassert herself today and the market happy with it, but not leading to the upside. who is right on this? >> is probably a good thing people are expressing different opinions. it is sign of a healthy discussion. this is an unusual market. we've never had mixed to before in the history of the fad or we have basically zero interest rate for years and years. you know, it would seem interest rates should come back to normal. the experiment with more than 25 basis point rate hikes and it wouldn't be a catastrophe. i think it is a close call because nobody understands why the world economy is as weak as it is. charles: i think i understand that. no matter whether you're a communist, socialist, government keep buying time and the damage beneath the s

back to janet yellen. yeah.he q&a portion of that news conference i was writing things down, it was extremely difficult but she got quite clear when she commented on the state of wage growth in america. how much you guys are making and where she expects for it to go from here. listen. >> i'm somewhat surprised we're not seeing more of a pickup in wage growth. the fact that we've not seen any broad based one of the factors suggest to me there is continued slack in the labor market but i would expect wage growth to move up some. liz: when? charlie goose is here. >> here is my prediction for janet yellen she will not raise rates until donald trump gets elected president if he gets elected president. it is pretty clear we are in holding pattern unless we have breakout of economic growth. she doesn't want to screw up dow 18,000 for hillary clinton. so unless you see donald trump winning this election and when he does win it, not saying he is going to win it, if he becomes elected president i think you see janet yelle

janet yellen honestly confusz me. i understand there's some big macro problems we have with the economy. i get that. they have been around for years. they will probably stick around for years. home prices up 7.5%, joblessness down and job openings up. what is she seeing to be so things are still terrible in the economy? i don't get it? >> well, it's not necessarily this, brian. look at the 15 references that yellen has in her speech and the 12 footnotes. look at number nine, reference number nine to a speech from charlie evans, one of her colleagues on the fomc, a paper from march 2015. it speaks to risk management for policy at the zero bound, and what calls for as it says in the conclusion of the paper the idea that the fed should be especially cautious, words that the fed chair used today when the federal funds rate, target rate is near the zero bound because if the fed makes a mistake, if it tightens too soon, tightens too much, what would it do then in response to a weakening of the economy. it would have very li

fed chair janet yellen with remarks that could very well move the markets this hour. we're going to take you there live when it begins in a few moments. with us for the hour today, joe and pete. so much at stake today in midtown where yellen will speak and take questions from the audience. it is a speech that comes amid growing questions over whether the economy is once again weakening and whether the fed itself is behind the curve when it comes to its own policy. it's hard to overstate the importance of what is on the table today. >> it is and i think we're going to hear a lot from janet yellen that possibly suggests to us the reasoning behind the pause in march but i think looking forward this is beginning to come down to an inflation question. tomorrow morning charles evans will be on this network and talk about inflation. he cited it as one of the reasons in the past that the federal reserve did not move. black rock puts out a great note advising clients to seek protection and do it through gold. inflation is the question right now scott. the fed is skeptical rega

we will wait to see what janet yellen has to say. will she stepped back from the hawkish voices we have heard rising over the last you days. is personal consumption used. the probability of a rate hike for june. for june. 38%. that is down from 42% despite all of the hawkish voices that came through the markets yesterday. let us take a look at the commodities. barclays brings the warning bell on the markets. they warned commodities may slump as we rush to the exit. is that youg story have seen the most aggressive inuction in short positions the past 10 years. that is what has driven the rally. , $39.15. the rush for the exit. to materials are vulnerable a wave of investor liquidation. oil is down for the fourth day. gold dropped to the lowest level in a month. dollar-yen. this is where perhaps the biggest focus will be in the next move. the dollar gaining for the eighth day against the yen. having a news conference. a lot of speculation that he may go for another kind of fiscal stimulus. speed withyou up to the bloomberg news. good m

was janet yellen's speech an all clear. is now with this dovish tone that she's set yet again we've got this rally going? >> there was a little bit of a bounce and clearly it was a reaction to that but i don't think -- the implied volatility was telling you that nobody expected them to be raising rates any time soon. this is just reinforcement of what the tape had been telling you. >> is this the kind of rally you want to fade or are you going to go with this thing? >> you don't like to fight the tape but a couple of things you have to take into account. one of the things is that supported this market has been buy backs, when you get to the black out period, 25 business days before earnings, they have to start fading. if i get my abakiss, out -- you can see some volatility to the downside. but ultimately we still seem to be trend is your friend and going the way we've been going today. i think traders right now, institutional guys are starting to focus on april earnings and then really, more so than any time i with remember

sentd chair janet yellen stocks higher. lisa:'tis the season of job cuts as big banks around the world all ax positions. where will traders turn next? david: u.s. military's fight against ne islamic state. us.thornberry joins let's head to the markets desk were julie hyman has the latest. julie: this janet yellen induced has been continued with less bigger than we saw yesterday or even earlier today. stocks down off the highs of the session, still hanging onto gains of .4% across the board. if you look at the s&p 500 across the day, you will see that fate that has happened as we headed into the afternoon. we've been watching the vix which earlier today touched its low for the year and then had come back. still down about 2% on the day. it bounce back from that low of the year. even though there is not much volatility now, we've seen a lot of buying of hedges that volatility is going to return and because they are cheap and they want that insurance. david: what parts of the market are the biggest drags right now? are down .2

janet yellen made some dovish comments. i don't know if this was on your radar. >> we call this dovish. what she did is get away. we're losing too many manufacturing jobs. we need to see commodity prices stabilize because they're going down. frankly what she really feels, i think what she says is, listen, we're one world. and a lot of them are very parochial. she said, listen, i'm not going to be parochial. i'm going to be dae ta dependent. i totally get we were weaker than they were when they tightened in december. i think she's grown up. i think the people who continue to talk want to talk. they want to be on tv, they want to talk about their region. that's great. i like to talk. they should get their own show. but they're not fed chair. >> if they had a show, what would it be called? "fed up?" that's what i would call it. here's the problem with the market, if you're a mom and pop and you're in iowa and you have money to invest and you want to be smatter, you want to hear from bill belichick, which is yellen. i don't wan

janet yellen would be fair game.me. >> to play this theory out, if that keeps the fed on the sidelines because they don't want to be on the side of debate, maybe that's good for stocks, right? >> i'm thinking someone in that room his to recognize there's an election going on this year. when we studied political science in school, we talked about critical election. every generation there's a critical election. this could be a critical election. i don't think the fed plays a role in the trump election. i think they get a bit of an overhaul. you may think he's going to lose err state or whatever. he's actually doing really well despite the fact the media is trying to make it a horse race. if somebody mentions maybe we ought to not play much of a role, a trump presidency, i don't see janet yellen having that level of independence under a trump presidency. >> okay. mr. cramer, we'll see you on "squawk on the street" in just a minute. >>> we'll get to stocks 'head of the trading day. take a look at where oil is. "squawk" r

janet yellen highlighted a massive concern for the u.s. economy which is what happens around the world. today we learned the euro area economic confidence fell to the lowest level in more than a year. could the so-called brexit concerns be affecting this as well? jack lew spoke with charlie rose earlier. i have seen all kind of estimates of what it means to the reddish and european economy. timee has had a hard struggling to get to a sustainable rate of growth that anywhere near strong enough. >> and huge levels of youth unemployment. >> anything that would move that in the wrong direction would be bad for the global economy and destabilize geopolitically. caroline: let's get some perspective with tim adams, president and ceo of international finance and joins us live from washington, d.c. thank you for joining us and thank you for your time. give us your perspective on these global threats, these geopolitical risks. think -- whatu could a brexit due to the rest of the world's economy? >> thank you for having me. i think the drop-off in co

people are pricing in easing from janet yellen. k: because of the stats from yellen, we're pretty much revised euro-dollar forecasts. we are higher across the board by five big figures. 110 andhe range between 115 existing through until the possible rate increase in june. theng softer and lower in second half. the idea of policy and strong divergent play, i'm am not convinced on that anymore. the slightest instability and financial markets and yellen will grab the opportunity to remain dovish and try. francine: instability that would come from where? china? derek: brexit will become a big issue. i agree with what was just said. a big risk. as i mentioned in the last segment, this commodity price sentiment ineneral emerging markets, i question you about sustainable. i think the negative macro fallout from what is a monumental commodity price crash , has that played out fully? i am not convinced it has. even though there has been a big devaluation and emf as, i would argue there is some potential for that instability to come back. fra

that follows much tougher statements from some of the ellen'-- some of janet yellen's colleagues from the fed in recent weeks. investors have been worried about the prospect of rising saysest rates, but yellen global risks could damage the u.s. economy and that includes uncertainty over oil prices and uncertainty over growth in china is -- let's listen in to janet yellen. yellen: the committee anticipates that only gradual increases in the federal funds rate will be warranted in coming years. we have to take into account the potential fallout from recent global economic and financial developments. markus: why are investors liking this message so much? there has been a long-running debate of whether or not the federal reserve should raise interest rates and primarily how quickly the fed should raise interest rates. there has been these fears in the market that too soon and too much could hurt the u.s. recovery. let's bring you up-to-date with where the u.s. stock markets are this hour. we have seen the stock market's turnaround in the past couple of hours or so with the dow jones indus

. >> maybe it's all in anticipation of janet yellen here in the u.s. we've got a heavy data load. inflation, the consumer, and the fed taking center stage today. first up, february retail sales out at 8:30 a.m. eastern time. forecast to have slipped last month due to cheaper gas prices. core sales will be key. they are expected to rise. also at 8:30 a.m., we get february producer mi er price i wholesale prices. they're expected to dip after edging higher in january. and the federal reserve begins its two-day policy meeting today. the decision is due tomorrow afternoon along with all that accompanies that. the members' latest economic projections, janet yellen's news conference, and of course the famous dot plot, which is the forecast for where the fed expect rates to go. v valeant reports its long-delayed results. >> we mentioned stocks. now to the broader markets. oil prices have been so key for equity market sentiment. we had four weeks of gains. we started this week a little more softly, as you can see. down another 2% today. wti, 36.38. we had started to flirt with that $40 le