this is due october 19, the day after janet yellen highlighted the debt ceiling. yields pop higher once the deadline was made by three basis points. you could argue that it could get worse, but there is stress coming through the markets. i want to break it down with mickey leavy of berenberg capital markets. and michael mckee, economics and policy correspondent. the stress in the market with the debt ceiling, how serious are you taking this right now? mickey: typically, i don't take the debt ceiling seriously, it is usually about theatrics and at the last moment congress comes up with a resolution. i put a very low probability on the treasury not servicing the debt. however, this time, because the budget process is so dysfunctional in so many ways, different factions of congress are trying to attach to the debt ceiling bill different legislation that is now pending in the house and senate, it is a complete mess. we should not discount smooth sailing. i think they will eventually come up with something that really reflects just how dysfunctional congress is, and th

manus: jerome powell and janet yellen are both using very strong language. catastrophe if the u.s. fails to raise the debt ceiling. yellen says the treasury will run out of cash. if congress does not act. the language is provocative, isn't it, from yellen? catastrophe and implosion. where are we? why is she using such strong language? >> it could not get any more blunt. you hear the u.s. treasury secretary warning the u.s. government could run out of money three weeks from now and with all the spillover consequences of that, being the risk of the financial rises, she said there would ultimately be a recession. she has warned of catastrophe. it highlights the dire straits the treasury is in. given the logjam going on between democrats and republicans at the moment. even without warning, later in the day, republicans dug into their position. they do not see a near-term breakthrough in terms of either spending or lifting the debt ceiling. this does become another source of volatility. this global energy surge, we have the ongoing supply chain problems. the u.s. debt ceiling is going to

we have janet yellen opening with her remarks to the senate banking committee. sec. yellen: while our economy continues to expand and capture a substantial share of the jobs lost during 2020, significant challenges from the delta variant continue to suppress the speed of the recovery and present substantial barriers to a vibrant economy. still, i remain optimistic about the medium-term trajectory of our economy, and i expect we will return to full employment x your. a rebound like this was never a foregone conclusion. in fact, the american recovery is stronger than those of other wealthy nations. one key factor for over performance is the policy choices that congress has made over the past 18 months. those choices include the passage of the c.a.r.e.s. act, the consolidated appropriations act, and the american rescue plan. treasury, as you know, was tasked with administering a large portion of the relief dollars in those bills, and when we last met, our department was busy standing up programs to help individual families, state governments, and organizations of every s

janet yellen warning of dire consequences if the debt ceiling is not raised. kathleen: you cannot just stop paying your bills and not expect markets around the world to react. let's take a look at what janet yellen said today in an op-ed in the wall street journal. she notes u.s. government has always paid its bill but the consensus on both sides of the aisle is failing to raise the debt limit would produce widespread economic catastrophe. here is the doomsday scenario she paints. a default is what this would be if you stopped paying your bills on things like social security payments, all things people depend on. it could precipitate a historic finance crisis. the u.s. would get downgraded by moody's and all the credit ratings. rate might -- rates might spike. all kinds of turmoil. all of this could lead this recovery to turn into recession. with all this dire consequences, wire is there any doubt? we know congress is set to vote on this bill next week raising the debt ceiling to 28 trillion. it is in the midst of the debate over this three and a half trillion

. >> janet yellen wants wall street to assist with negotiations. she contacted leaders from several banks in recent days and funding could be adjusted in october. and pressuring republicans to help raise or suspend the debt spending. biden and emmanuel macron will meet face-to-face to mend ties. officials in paris have been outraged and biden has spoken with micron over the phone. leaders agree open conversation could have mitigated the situation. clover says late stage step -- late stage trials of the covid a shot protect against 79% of delta cases. the clover shot stimulates immunity against covid and try to data shows it prevents 67% of cases caused by any strain including gamma and mu. global news 24 hours a day, powered by more than 2700 journalists and analysts in more than 120 countries. this is bloomberg. haidi: coming up, japan says the military rise in china could strengthen economy. more details. and we discussed the tapering timeline with a macro strategist. this is bloomberg. ♪ >> jerome powell says they could unwind their asset progra

janet well does yellen -- janet yellen says it would have disastrous consequences.rren slams the fed chair over his financial regulations, saying that she will oppose his renomination. the tou thao energy ceo tells bloomberg that the energy crisis could last until winter. we hear from our extrusive interview throughout the program. francine: futures are holding up ok when it comes to sack futures. ftse futures. we saw a selloff in the u.s. because of concerns over that that ceiling, expectations that the fed will move sooner than expected. what do you have? tom: u.s. yields above one point 5%. those yields are going to grind higher. the ftse 100 is flat as the futures have suggested. stagflation era concerns now in the u.k.. built above 1% yesterday. the pound was weaker. the challenges for the bank of england as growth continues to slow. energy central to what is happening in the u.k., given the petrol shortages. in spain, gains of 7/10 of 1%. french consumer sentiment coming in slightly better yesterday. let's look at how the sectors are breaking down. 5% across t

that's what secretary janet yellen has said, and we don't really know. there's even more uncertainty around because of the pandemic and, you know, how frequently revenues are come and that sort of thing you could have a situation where we are about to run out of cash much more quickly than we had anticipated an democrats don't have their ducks in a row and that's what i'm worried about in this situation. that's had a little different from previous ones because, again, all of those protracted steps, democrats would have to go through and they seemed to be putting off because they are hoping i think naively that any republicans would do the right thing here. >> david, the president's party, bra additionally struggled to hold seats in mid-term elections. does this feel like the last chance for democrats to turn president biden's agenda into reality through legislation? >> i think democrats have a real risk in look towards the election. if the election were held taltd republicans would probably get the house back so the democrats really have to focus on this

fed chair jay powell, treasury secretary janet yellen. we have statement being read right now.ed chair speaking at the moment. we will be back to what is happening in the house. earlier this week, the senate banking committee. we will bring you the key monday when we return. -- the q&a when we return. chair powell: conditions in the labor market continued to improve. et continued to improve. alix: we are moments away from taking the house financial services committee testimony with chair powell and secretary yellen. no surprise, janet yellen hammering home the fact that you have to raise the debt ceiling limit. what i am going to be interested in is what happens to the dollar on this. the dollar has had an enormous run. it has really pounded things like sterling, no pun intended. you have to wonder if that is very much a fed is going to hike at some point and you wind up having lower growth, if that combo is what is really boosting the dollar here. guy: i think there's a bunch of factors boosting the dollar over the last few days. i think you got a flows story into the end of t

neil: absolutely. >> obviously worked under janet yellen. even as the data is showing there possibly should be a rate increase, you know, cleveland federal reserve in fact released a report saying that the federal funds rate, the interest rate should be 1% right now. that report says. so he is holding rates lower which is exactly what the administration needs as they want to pile on more spending to keep those interest rates down as more debt gets aaccumulated. neil: hoping that posture might maybe improve his chances of being renominated. we shall see. edward lawrence great reporting as usual. that october 18th deadline that janet yellen seemed to indicate was put up or shut up time to get all of this resolved or we're looking at a government shutdown or worse, let's get the read from chad pergram from capitol hill. chad, what is it about october 18th? reporter: senate republicans last night filibustered a bill to fund the government and suspend the debt ceiling. the government is funded through 11:59:59 p.m. on thursday. this morning as yo

treasury secretary janet yellen saying the u.s.arty in power, they should take care of the debt limit themselves since they want to spend trillions of dollars with no input from republicans. >> we will see if washington democrats actually want to govern or whether they want to add the prospect of a government shutdown to the list of inflation, afghanistan, the border and all the other national crises that are direct result of their own decisions. maria: meanwhile democrats remain deeply divided on president biden's massive spending packages. speaker nancy pelosi is placing bets on having enough votes to pass bipartisan infrastructure bill on thursday. she's finally realizing that she has to separate these bills but progressives are still standing firm. they will not pass measure -- this measure unless the largest spending bill advances first. federal reserve jay powell and secretary janet yellen will testify this morning in front of the senate. powell already released his opening statement. he said inflation is lasting longer and i

janet yellen spoke about unlocking the potential. we have to get all parts of the economy working.is what rebuilding looks like. the job effect. six jobs open, that is the ripple effect that we need. we need the six jobs, the sole proprietors to work. and we need the smaller businesses that are bigger employed to also work. this is unlocking what the true potential looks like, in a very sophisticated economy. a lot works. but when we leave behind communities and neighborhoods and tribal areas or rural areas, we are leaving opportunity on the sidelines. here is where small businesses need investment. and again why the lender matters. and why it's important that we support the lenders that have been out there. and now we have the potential. i liked ron's word, intentionality. we have seen intentionality from both sides of the aisle. and we have seen intentionality from private partners. and also, new companies like google and twitter that brought their resources and invested in us. this is the time. we want to get this economy rebuilt and addressing the wealth gap. it has -- this is

treasury secretary janet yellen warned of dire consequences if it's not raised by october 18th. >> and our country would likely face a financial crisis and economic recession as a result. >> reporter: a more urgent deadline, 800,000 federal workers will be furloughed on friday if congress doesn't pass a measure to fund the government. >> it's extremely nerve-racking. >> reporter: the watersons had to rely on food stamps to get by during the last shutdown. t think what's the most secure job than with the federal government? >> reporter: democrats are planning to vote on a funding bill today. the last congressional stalemate lasted 35 days between 2018 and 2019. it was the longest shutdown in history. anne-marie? >> wow. laura podesta in new york. thank you so much. >>> so top pentagon leaders will face a house committee today over the chaotic withdrawal from afghanistan. they testified for hours yesterday in front of the senate armed services committee, admitting the speed of the fall of kabul caught them offguard and contradicted president biden saying they told him to leave troops in

and janet yellen renews a call to raise or suspend the u.s. debt ceiling. she says it needs -- it is needed to avoid widespread economic catastrophe. and it is election week in germany, the cdu on the defensive as angela merkel set to head onto the campaign trail. there's only one word you need to understand, it is ever grande . this is about an equity in the lowest value in history and it is bleeding across the credit default swaps, but if you can't get a cds on ever grand, where do you go? this is vicarious hedging, not on the sovereigns but in case of ever grande. dani: that black box means a three standard or more deviation, you can see the risk, the fear emanating through the markets. it is all about the contagion risks this morning and without any response from the government because of the holiday, it is allowing investors to imagine the worst. it is a mark twain moment. i have known many great troubles, most of which never happened. that's what investors are seeming to think today. manus: this chimes with what other people are saying. we will get st

i urged janet yellen to demand it. i urged the g7.ill be speaking with janet yellen and jay powell next week in a series of testimonies where they discussed their plans going forward. what do you thing is going to be the hottest topic at a time when fed chair pebble may not be up for remote -- up for renomination, -- fed chair powell may not be up for renomination, according to some? rep. hill: looking at the plans of corporate america for employment and wages into next year, that is a key point i think they will talk about. for janet yellen, why there has been a failure by the biden administration to properly get this eviction rental assistance money out across the country. it is a crisis in many markets, particularly in the northeast. lisa: were you satisfied with fed chair jay powell, whose tone indicated that he is concerned about some of the pressures you mentioned? rep. hill: i'm glad. i think he is listening to his regional presidents. i am glad to hear the chairman taking it seriously. the key is is it transitory or not, becau

the senate banking committee holds an oversight hearing on wednesday, 10:00 a.m., with janet yellen and federal reserve chair jerome powell on the federal economic stimulus measures taken in response to the pandemic. we'll have live coverage on c-span.org. then thursday at 10:00 a.m. eastern on c-span3 -- health and human services secretary javier becerra and education secretary cardona will discuss school reopenings during the coronavirus pandemic. watch this week on the c-span networks or listen on the free c-span radio app. also, head on over to c-span.org for scheduling information or to stream video live or on demand anytime. c-span, your unfiltered view of government. washington journal . host: dr. brian miller is the assistant professor of medicine at johns hopkins university school of medicine. he is joining us to focus on the looming doctor shortage in the u.s. and the burnout caused by -- caused to doctors quite nurses, and other workers by the pandemic. the pandemic was declared in march of last year. the pandemic obviously continues in surges with the delta variant. the fine

treasury secretary janet yellen refused to return calls from the head of the imf.ding support is beyond its public statement. -- accused of properly intervening in a report in her prior job. a new number one in the ratings, -- at the top of the survey. norway fell when it had the worst outbreak in the world period delta variant has left the u.s. reeling to number 28. ford making the biggest investment in its history. the automator will spend $11.4 billion to build factories in tennessee and kentucky. the project will create sites to produce electric f-150 pickup trucks. they will employ 11,000 people. global news 24 hours a day, online and at quicktake on bloomberg, powered by more than 2700 journalists and analysts in over 120 countries. i'm ritika gupta. this is bloomberg. ♪ >> about 22% heaven gotten any shots -- haven't gotten any shots and that is causing an awful lot of damage for the rest of the country. this is a pandemic of the unvaccinated. that is why i am moving forward with vaccination requirements wherever i can. jonathan: good morning. -34 on the equ

you heard janet yellen testify to that fact just yesterday.re kind of all at the edge of our seats as washington tries to get its act together, which frankly isn't in great position. >> the core of all this is really what is the democratic agenda, right, which is the biggest social reform since lbj's great society or the new deal. they say, look, this is the biggest chance we have to remake the american economy twilted towards american family. that's what republicans say, this is the first chance they have to shift -- they both love and hate -- >> jackie kucinich, nice to see you. >> thanks, jackie. >>> also in washington yesterday, senator elizabeth warren, did you see this? sharply criticizing the fed chief jerome powell saying she will not support his renomination. >> your record gives me grave concern over and over. you have acted to make our banking system less safe, and that makes you a dangerous man to head up the fed. >> warren is now the highest profile lawmaker to oppose his renomination. powell, remember, was appointed by the former

the treasury secretary, janet yellen, has been moving money around. she's keeping the bills paid but is running out of wiggle room. this is not wonky washington politics. it is real world. without raising the debt ceiling, social security checks could stop for nearly 50 million seniors. troops can't be paid. critical monthly child tax credit payments could stop. there is a risk of a new crisis. yellen warns defaulting on america's obligations could trigger a spike in interest rates, a drop in stock prices, and other financial turmoil. in action, would make america a more expensive place to live, yellen says, with borrowing costs spiking for millions of consumers. look, this is not about restraining future spending, as some republicans would have you believe. this is paying the bills piled up already under both republican and democratic administrations. this is money congress has already spent and needs to borrow to pay for. congress has raised its own credit card limit some, what, 80 times since 1960. this, you guys, has become a predictable, routine,

he was flanked there by treasury secretary janet yellen. that's probably the shortest amount of time i've ever seen senator chuck schumer at a microphone. it was very brief, and then he left with the secretary. she didn't say anything. but -- and then we heard speaker pelosi talk about the debt ceiling. correct me if i'm wrong. it sounded as if at one point they were questioning whether there'ven needed to be a vote on the debt ceiling? did i misunderstood? >> yeah. that's a little unclear as well. i mean, the vote on the debt ceiling doesn't necessarily have to happen next week. before september 30th, before that government shutdown deadline. the vote on the debt ceiling as janet yellen has said publicly, needs to be sometime in october. she thinks mid october to late october. there's still time for that. but what democrats have decided to do is to tie those two completely separate issues together in a way to try to force republicans' hands to also vote for the debt limit. republicans at this point are standing strong, saying they are not

that deadline rapidly approaching treasury secretary, janet yellen has warned of catastrophe if the nation were to default. sure to had we speak with former us representative ron paul to discuss the date of the national debt. and the looming fall plus proctor forming and china is ambitious both and wrote initiative will new debt revelations in danger. the infrastructure project will discuss norm as an controversial project coming up. we have a great show ahead. so let's get started. we leave the program with a strong warning from treasury secretary janet yellen. she says the u. s. is facing a financial crisis of congress does not take action to raise the debt feeling before october 18th, that would mean the u. s. could be just a few weeks away from a federal debt default, as it is days away from a government shutdown. jaelyn noted that if congress allows this to happen, it would be the 1st time in us history. and if the did ceiling were not raised, i think the would be a financial crisis and a calamity. and absolutely, it's true that the interest payments on the government debt would incre

janet yellen spoke about unlocking the potential. got to get all parts of the economy back working. that's what rebuilding looks like. so the jobob affects, the businesses i talked about cap six of jobs open. those are the ripple effects we need. we need the six jobs. we need the sole proprietors to work, and we need the smaller businesses that are bigger employers to also work. but i think the key thing is that this is what unlocking future potential looks like in a very sophisticated economy like the u.s. a lot works but when we leave behind communities and neighborhoods and tribal areas are ruralal areas, we are leavig opportunity on the sidelines. and here's where our small businesses need investment, and this is again why the lender matters and why it's important that we resource the lenders have been out there fighting for these communities. until frankly this pendant we didn't have a lot of people into what the acronym cdfi met, community development financial institution, now we have theav attention. .. we have seen intention

an op-ed in the journal by janet yellen urging congress to raise the ceiling.ow. it's a two day meeting. we'll hear about tapering likely on wednesday. mike, your thoughts on the seriousness of today's decline. >> i don't think today in itself is that big of a deal. as i've been saying on your program for years, the chinese economy is a bit of a house of cards and so i don't think there will be much of a financial contagion from this ever brand fallout but it goes to those standing of out there holding china up as a model need to take a closer look under the hood. i think we're a few percentage points off absolute all-time highs but there are real concerns about a slowing economy. i tend to believe that those fears are overdone. it will be really interesting to see what the fed does this week because if the fed comes out and says we're going to push off the taper because of uncertainty, i.e. the s&p 500 selling off more than 2%, people could take that in one of two ways, number one that we're going to have taper for longer, rates lower for longer or that the un

>> reporter: janet yellen did not mince word.e the debt ceiling in time it would spark a financial crisis and a recession. it was really important that this wouldn't just cause chaos on wall street but would be really bad for main street, too. listen to what she said about how all americans would be hurt. >> i think it would be catastrophic. nearly 50 million seniors could stop receiving social security payments or see them delayed. our troops would not know when they would get their next paycheck. we have 30 million families who rely on the monthly child tax credit and would not receive that relief. >> this is not just the view of yellen. we've heard similar warnings from business leaders including jpmorgan ceo jamie dimon and fed chair jerome powell. you know, we have to remember the clock is ticking here. yellen reiterated today the federal government is going to run out of cash and the emergency accounting moves by october 18th. >> it is not like lawmakers don't know this. they know that it would be catastrophic. it is so int

you heard what treasury secretary janet yellen said, that this should be done in a bipartisan manner.it was done under prior administrations and prior presidents, urging congress to act together. about the end of the day, someone has to cave. jonathan: here's the quote from "the wall street journal" from secretary ellen. "-- secretary yellen. "we are just now emerging from crisis. we must not plunge ourselves back into one." what is the deadline? there doesn't seem to be a deadline here. annmarie: we don't know the exact date. it is an elusive eight within a get if the treasury is going to give an exact date, but it is potentially off by a few days, that could potentially be very dangerous in the sense that if it is too early politically, republicans may say you were just trying to force us to act. but if it is too late, they could find themselves potentially in a tech. so they are keeping it to -- a technical default. so they are keeping it to some date in october. lisa: how much has senator manchin gummed up the works, saying he wants to wait until 2022 to talk about the $3.5 trilli

joe biden has been talking with janet yellen. it was reported earlier this week that nancy pelosi and chuck schumer met with janet yellen. the way it will be paid for is by taxing the ultra-wealthy and corporations. who is not going to be taxed to pay for this is anyone making under four hundred thousand dollars a year. i worked for a member -- under $400,000 a year. i worked for a member of the blue dog coalition in congress. it will take a bipartisan group to address this. the good news about the build back better act is it will be paid for so we will not go further into debt to pay for these critical programs. host: our next caller is jennifer. caller: for starters i would like to speak on behalf of jerry from michigan. as far as racists, not every american is racist. i am republican all the way. as far as biden in office, he has not done half of what trump did to start off with as far as this building bridges. that is -- we needed to but is that what the money is going to be used for? guest: you are creating programs that wil

the us has got a borrowing limit of $28.4 trillion and the treasury secretary janet yellen is going torisks defaulting. the us debt ceiling needs to be raised, but the political polarisation is so intense that doubt is creeping and to the markets. so what is the debt ceiling or debt limit? it is the maximum amount the us government can borrow to pay its existing bills. america had that limit on august first. since then, the us treasury has been using extraordinary measures to make sure it has enough cash on hand to meet its obligations stopping the congressional budget office thinks it will exhaust those measures in late october or early november. us treasury secretary janet yellen warned congress the date was probably the 18th as she urged lawmakers to act now to avoid economic calamity. because the us has never defaulted on debts, economists aren't sure what the economic fallout could be stopping it could trigger a recession, funding for certain state programmes could be faulted if the debt limit isn't raised. the head ofjpmorgan, said his bank was preparing for the worst, calling no

janet yellen renewing her call for action.he is warning about the dire consequences if the debt ceiling is not raise. it is fairly obvious why. we also got larry summers chiming in saying can congress just grow up? kathleen: and happens every time this issue has to be voted on. janet yellen is treasury secretary and determined to get congress to step up and get this done. she warned of economic catastrophe in this op ed in the wall street journal. she said that u.s. is always paid its bills in the past but economists and people in both parties are saying that if you don't raise the debt limit, we could have a widespread economic catastrophe. let us look at what she is talking about. first of all, if you don't pay your bills, you're defaulting on debt. you don't make payments like social security and all kinds of things. that creates uncertainty in the world. she did say it could precipitate historic financial crises, spiking interest rates, falling stock prices, and economic recovery that turns into recession. none of that is

janet yellen saying they will be running out of cash.his coming at a time when we heard from elizabeth warren, saying she would not be able to support jerome powell for a second term as fed. there has been a lot of news in washington. >> we are watching the ldp election. whoever gets voted internally we know is pre-much certain to become the next prime minister after suga stepped down. we are seeing -- the frontrunner reforms revived the economy, driving this gain we have seen in japanese stocks. we are also seeing -- in the mix. slightly wider support among the party lawmakers seems to say fiscal consolidation with the first woman candidate. as a successor to continue the reflationary up. of course, we will also be watching the market impact. we need another catalyst to see whether this rally in japan continues. >> the nikkei near the 19.90 hi -- 1990 high. the world economy facing risks of stagflation given we continue to see commodity prices at a seven-year high global commodity prices rallying. copper and coal as well. this at a time

i think in the main event it will be janet yellen and jay powell together, the debt limit will be so front and center in that conversation. alix: we will take -- guy: we will take that live for you tomorrow. we will watch that with a deal of interest. the director of policy research joining us on balance of power. this is bloomberg. ♪ announcer: from the world of politics -- >> this has been a hurricane economy. don't go down this path. announcer: to the world of business -- >> bitcoin and many others are kind of settling and have not worked very well. announcer: this is "balance of power" with david westin. david: from bloomberg world headquarters in new york to our television audiences worldwide, welcome to "balance of power." looks to be a packed week on capitol hill. to set the stage, we go to our washington correspondent up on capitol hill. give us a sense of the schedule. what are we looking at? anne-marie: it's an incredibly dizzy schedule. the democrats are meeting at 5:30 and the senate is going to vote on that bill to fund the government and address the debt ceiling stop bu

alix: no rest for the weary, powell back on capitol hill tomorrow with janet yellen.hat are you looking for that is different from yesterday? >> that will be the key. even tuesday we got that nasty comment from elizabeth warren about jay powell, but that did not have to do with monetary policy. is there anything the markets have not already heard and have not priced in already about the fed's monetary policy? we are expecting a taper as long as we get a good jobs report. then what? it becomes a question of when do they start talking about raising rates. i do not think you are getting an answer tomorrow. alix: they will push them, but no. michael mckee. coming up, hundreds of united airlines workers facing termination after declining to get the vaccine. we discuss that and more with ceo scott kirby. this is bloomberg. ♪ ♪ alix: this is bloomberg markets. united airlines saying as many as 593 employees facing termination after declining to get the coronavirus vaccine following their vaccination deadline. for more, i want to bring in ceo scott kirby and our own guy johns

we are now hearing janet yellen saying the extraordinary measures the treasury department is using ouret, and october and that was sooner than people were thinking. there is a big battle brewing over democrats and republicans. it is a very person issue. the democrats did vote to raise the debt ceiling under trump and they are painting it as a double standard. lisa: janet yellen was speaking to the oversight board and highlighted the debt ceiling negotiation as one of the key risks to financial stability and it could be concerns that they failed to do this what is the sense of the timeline? what is the likelihood there could be some fissure. emily: we have not seen a lot of details. nancy pelosi and chuck schumer say they have a plan for how to do this and how to get this done, but at this point it seems to rely on getting republican support, which is something they don't seem to have at this point in time. usually when the debt ceiling debate's come up in d.c. it is a whole thing and there is partisanship and everyone gets it done because no one wants the u.s. to have to default. every

treasury secretary, janet yellen is declining to return calls. they were accused of improperly intervening. the world bank reported her prior role there. the breakdown comes ahead of the imf world bank annual meeting starting in october. i was sources say they previously had easy access. global news, 24 hours a day, powered by more than 2700 journalists and analysts, i am su keenan, this is bloomberg. quek still ahead, warnings about gdp growth and the global supply chain as china's electricity crisis deepens. >> plus, our exclusive interview , we discussed the start contrast with air travel in the u.s.. this is bloomberg. ♪ >> let's take a look at the flights in the process of recovery of some of the economies here. we are seeing global vaccinations on the rise. there is some optimism when it comes to some of the airlines. we are seeing light at the end of the tunnel right here. that could be what you're seeing in europe and the u.s. but i think ada is still on the covid zero side of things. >> that will be key here. what we do have at the momen

. >> next, treasury secretary janet yellen and federal reserve chairman

janet yellen was on capitol hill tuesday warning lawmakers if they fail to extend the debt ceiling the u.s. economy will face a crisis. republicans have been blocking moves to raise the ceiling, raising the possibility the u.s. will default on its debt for the first time in american history. wall street got whacked on tuesday. tech stocks in particular sending the nasdaq down almost 3%. part of this is better yields on government debt. money moves to the most profitable places, and that's the same debt we just said was in danger of default. house prices continue to rise. if you group together the nation's 20 largest housing markets, they are hitting yet new records, up 20% year to year according to case chiller. we report on different house prices, and chiller is one of the best. phoenix, san diego, all saw bigger gains. phoenix up by a full third. again, these are record numbers. >>> hey, you got the toy i sent? >> yeah, i love it. >> this is the latest offering from amazon. it's an alexa on wheels. amazon calls it astro. it can move from room to room. not totally clear what people ar

event is going to be the congressional testimony from fed chair jay powell and treasury secretary janet yellen. i think where he reset and recast the die yesterday was about inflation. it will be greater and enduring and an upside risk. dani: the disappearance of the transitory word. will we see selling pressure resume? we also have the ecb forum that will kick off today. we will hear from christine lagarde. the key policy panel to watch for is tomorrow afternoon, christine lagarde, powell, bailey, and kuroda. coming up, we will stick with the central bank theme. we will discuss more about the resignation of these two fed chiefs. we had the stock trading scandal. we have questions around health as well. what does this all mean for u.s. monetary policy? we will discuss that next. this is bloomberg. ♪ >> employment is still a bit short of the mark on what i consider to be substantial further progress, but progress continues and i hope it may soon meet that mark. >> i think it is clear that we made potential further progress in achieving our inflation goal and there has been good progress with ma

will treasury secretary janet yellen publicly support his renomination? how much will progressives get on the bandwagon that senator elizabeth warren set out? jonathan: i'm listening out for more this from chairman powell yesterday on transitory. this is a process that will have a beginning, middle, and an end. if that helps. tom: where we are now is how do you affect monetary policy with such fiscal uncertainty? no way in the history of the fed. jonathan: it is something we talked about a million times. the range of outcomes for next year, never mind the year end, it is incredibly wide. tom: i will hallmark some q3 returns. what about amazon? everyone is beating up on amazon. it has cratered over the last 90 days, down 4%. it is horrific. jon: the broader market is positive on the s&p. tom: we have to put things in perspective. jon: we will work on that. they had a fixed income strategy, the playbook for q4. what is it? george: the fed has two big challenges. you've already touched on all of the main themes on what to watch right now. the fed is trying t

jay powell and janet yellen said nothing new on the economy or their plans going forward. both said what they had told congress on tuesday and what powell told the rest of the g-7 people at the ecb meeting yesterday, that they think it is supply chain problems that are causing inflation to go up. those should go away, inflation should come down. at least eventually. powell was asked directly, what does eventually mean? he said we have been surprised, but we still think it is going to happen. i think the biggest thing -- the two big issues were the debt ceiling. republicans pounding on yellen in particular about the debt ceiling and saying it is because democrats want to spend a lot or money. yellen accurately saying that is not true, it is about paying for the money already spent by congress. then democrats, pounding on using yellen as a ping-pong ball to pound on republicans for that. the only real news that came out of it, bad news for joe weisenthal, the treasury secretary said they will not as the trillion dollar quarter. the other thing that was a big deal was the pro

joe biden has been talking with janet yellen.t was reported earlier this week that nancy pelosi and chuck schumer met with janet yellen. the way it will be paid for is by taxing the ultra-wealthy and corporations. who is not going to be taxed to pay for this is anyone making under four hundred thousand dollars a year. i worked for a member -- under $400,000 a year. i worked for a member of the blue dog coalition in congress. it will take a bipartisan group to address this. the good news about the build back better act is it will be paid for so we will not go further into debt to pay for these critical programs. host: our next caller is jennifer. caller: for starters i would like to speak on behalf of jerry from michigan. as far as racists, not every american is racist. i am republican all the way. as far as biden in office, he has not done half of what trump did to start off with as far as this building bridges. that is -- we needed to but is that what the money is going to be used for? guest: you are creating programs that will

treasury secretary janet yellen is kwrwarning against th.his is what she said to the senate banking committee. >> this would be a manufactured crisis we imposed on this country which has been going through a difficult period, is on the road to recovery and it would be a self-inflicted wound of enormous proportions. >> treasury secretary janet yellen warning against this. the markets tanked yesterday. they have had a terrible month in part, and there's a lot 06 other things, in part because they are looking at washington, like, you guys are juggling flaming swords here. this is not a good idea. >> you know, the market hates uncertainty. and right now what the market sees is we are putting ourselves against the precipice of what treasury secretary yellen rightly suggests is not just catastrophe, but a self-imposed recession. the juggernaut we're facing right now is we have the delta variant, combined with monetary policy, which is starting to slow, which means the federal reserve bank, which has been buying a lot of bonds in the marketplace, w

ashley: well, this as treasury secretary janet yellen said congress must raise or suspend the debt limit by october 18. so much to talk about let's get right to the floor show. that's interesting, is it not, the floor show, timothy anderson , chris robinson, gentlemen, thank you, both. let me get to tim first. tim? okay, we've been talking about a day like this , we're down just over 1% on the dow. is this a sign of more perhaps caution going forward? what say you? >> well i certainly think it's a little bit of a wakeup call maybe for a lot of people. we went below 4,400 on the s&p last monday, and and recovered from that quite nicely. this time, i think it might take a little bit more to regain the upside momentum up around the 44.50 level or so but really, for a market that's down 1-1.5% on the day, down volume is only a little more than two times up volume? you'd expect it be heavier than that on the downside, if you look at total volume, but i do think that the s&p being below 4 oh, 00 could be a little bit of a wake up sign for some people and the market just might struggle to recou

powell is testifying at a hearing with janet yellen. in his prepared remarks he says the unprecedented process of reopening the american economy has resulted in a number of problems, such as supply chain bottlenecks as well as hiring difficulties he adds if inflation does not ease, the fed is ready to use its tools to lower the pressure on prices. let's talk about this and the broader markets with ben, he's the managing director of global macro strategy a great day to have you on because you look at the big picture. in coded language is jay powell suggesting that interest rate hikes could come sooner than the market expects >> morning, brian. yeah, i think the market is catching on to that, as you say, he puts in that testimony this word "enduring," it's the bottlenecks and the market is connecting those bottlenecks with the pressures we're seeing in energy and that leads to inflation. so that should translate over time to rate hikes so the yield and the treasury this morning at 153, not really the number we're going to be sitting at fo

janet yellen was on capitol hill yesterday, saying the u.s. economy will face a crisis if they do not raise the ceiling. wall street got whacked tuesday. tech stocks in particular sending the nasdaq down almost 3%. part of of this is yields on government debt and it's the same debt we said was in danger of default. house prices continue to rise. if you group together the nation's largest 20 largest markets, up 20% from last year. we report on a lot of different housing prices, and july is the last month measured. not the highest. phoenix, san diego, phoenix up one-third, and these are records. this is the latest offering from amazon. it's an alexa on wheels. amazon calls it the astro. it can move from room to room. not totally clear what the purpose is, it can kind of patrol your house, and there's in the back a place for cans or bottles, i suppose, and somebody in the kitchen could walk it over to you or send it to you, and you could get your butt up off the couch and get it yourself. i am not sure we know what this thing is for, and i don't

jerome powell and janet yellen taking questions from the senate banking committee. sec. yellen: society for making sure children have quality childcare and influences in the course of their success over their whole lives. >> thank you for that. mr. chair, i know we are out of time but we have a solution to this problem in the build back better plan that president biden has proposed and we have been working on in the senate and the house and i look forward to getting that solution passed into law to address the systemic problems in childcare. thank you. sen. brown: senator scott of south carolina is recognized. sen. scott: thank you, mr. chairman. you all have difficult challenges. life is getting more difficult and not less difficult. democrats control the white house, the senate, and the house. they have the roads to raise the debt ceiling. they also have the votes to fundamentally weaken the greatest economic engine in world history. what they do not have the votes to do is to force republicans to be complicit with their reckless spending spree killing the goose that l

janet yellen told lawmakers today the government will essentially run out of money october 18 if the federal debt limit isn't raised. with all of that, let's bring in our starting le on this tuesday night. eugene daniels, white house correspondent for politico and coauthor of the politico playbook. stdard, and retired four-star u.s. army generation barry mccaffrey, former battlefield commander in the gulf and former cabinet member and member of the national security council as well. eugene, what is the latest you're hearing from the white house tight with these two bills, aka the president's agenda, up in the air? >> i mean, what we know is that they're getting a little concerned, right? it's remarkable where we are in the process, legislating is messy, we all know that. the democratic party has to make sure everyone's happy from bernie sanders to joe manchin in order to pass legislation. but for months the focus has been about how impressive it is that democrats have been so united, that they were on this two-track process that everyone has agreed. and then the wheels started to fal

treasury secretary janet yellen and irs commissioner pushed lawmakers to give the internal revenue service more information about taxpayer bank accounts if the by the administration tries to salvage its struggling tax compliance proposed. in letters to lawmakers, the administration officials again asked congress to require banks to report annual inflows and outflows from bank accounts with at least $600 or at least $600 worth of transaction. -- >> you have been listening to jay powell and janet yellen testifying for the house finance committee. we have two events taking place. the hearings there and we are watching carefully the vote on the stopgap itch would effectively avoid a government shutdown, critical to the u.s. economy and markets. >> it looks like we are slowly getting there. nancy pelosi has said that they will vote today on the stopgap funding bill after the senate does. she also talked about the fact that there will be reconciliation bill and so far so good for today on infrastructure bill, $1.2 trillion infrastructure bill that progressives have been holding hostage so they c

haidi: treasury secretary janet yellen and fed chairman jerome powell on the debt ceiling saga.gress keeps hearing the markets won't take kindly to a default. but they don't seem to be listening. b.m.o. c.i.o. carol m. schleif joins us from minneapolis. carol, great to have you with us again. so we have seen the market reaction back in the debt limit saga in 2011 and 2013 as well. what are you -- how are you expecting this time around to play out for the markets? carol: well, hopefully congress will get the message because we have definitely seen investors came into this week with a whole bunch of worries for considerations of a big week with the dual infrastructure bills, the end of the fiscal year on september 30, the debt ceiling looming, and then the big data day on friday. so there's a lot on their plates to worry about. and they held it together pretty well yesterday given the dithering in congress if you will. but it seems like today it's -- especially with janet engel coming out today and putting a date -- a date pretty certain that default unless we get moving. so we re