romaine bostick here for jon ferro.ome all of you on bloomberg radio and bloomberg television. ian lincoln writes a what -- ia n lyngen writes a widely read note. within your precision right now, what matters within fixed income? ian: i think that in this moment, as a market, we are looking beyond the employment landscape and looking beyond the interim or transitory data on the inflation side and we are starting to contemplate what the new economy looks like reopened as we get past this summer into labor day and beyond. what does the work from home environment translate into after-the-fact? what does that mean for frontline service sector firms? i suspect one of the reason employers are having trouble getting people back into the front service sector jobs has to do with the fact we are still to some extent in the midst of the pandemic. we have not reached herd immunity although significant progress has been made, and there a lot of uncertainties that remain in terms of how long certain jobs are going to be available and

matthew miller in for jon ferro.ful surveillance across the hour, the president leaving the white house, traveling to the g7 meeting. lisa, help me again, red and green on the screen. i think the equity markets, the persistency, including s&p futures yesterday after record highs, really stunning to see that. lisa: and it really does stem from the lower yield environment. tom: agreed. lisa: particular part -- particular paradigms. i know you love that word. we will have a new drinking game with paradigms. the question is, what point is there a dissonance between the lower growth outlook implied by the bond market and equities continuing to rally, given the projections for earnings? really, they were still to come in 60% higher. at what point are we getting to pick earnings expectations? tom: matt miller, david and the focus -- david and the team at deutsche bank saying it is tangible. is that the zeitgeist in europe? matt: absolutely. we see inflation taking up here at a slower rate than there, but germans are much mo

tom: jon ferro is very good about this. you have a driver's license? lisa: i do. [laughter] romaine? romaine: yes. lisa: tom and jon don't. "surveillance" road trip. i'm driving. romaine: it is never too late to get a drivers license. lisa: did you see that people are holding onto to their cars a lot longer? romaine: if you ever go below 59th, you will need some kind. tom: people are holding them longer come but the fact is at 17 million units a year, there's the gloom out there, except people are acting with the bid up we see in used cars. don't tell my used car prices are transitory. lisa: you've got supply chain disruptions, you've got commodity shortage or even commodity prices that are moving higher. you have people moving to more suburban areas and they need more cars. they don't want to take public transportation as much. a confluence of events that could change, but for how long, considering the fact that increasingly, people saying these supply chain disruptions are going to last? romaine: fleet buying is putting a lot of pressure on it. tom: we will get t

romaine bostick and for jon ferro. lisa abramowicz and john key -- bostick in for jon ferro.a abramowicz and tom keene. jack fitzpatrick joins from bloomberg government. buried in the news flow is the basic idea of how the democrats regroup. how do the democrats regroup? jack: on infrastructure and on their big legislative priorities right now, it is unclear what their path forward is. there is still an attempt for president biden to work something out with senate republicans directly, and there's going to be a meeting with senator capito today, although senator capito as of late yesterday was not sounding very optimistic. she said she didn't have a new offer to give the president, and the president still wants more money from senate republicans, so we may potentially see a senate bipartisan approach where a bipartisan group of lawmakers start working together, but there really is some frustration among democrats, and it is possible we will see them give up on the bipartisan approach altogether for their top legislative priorities and in something through the budget process t

romaine bostick info jon ferro -- in for jon ferro. house is back in today, and i think it is way underplayed with the pelosi scorecard looks like. i believe it is in the vicinity of 219-211, depending on the vacancies, and the donkey in the room is within every conversation is the fragility of the democratic majority in the house. how fragile is it? emily: at this point, you've heard many democrats from across the spectrum, progressives, moderates, individuals in california, new york, and new jersey all come out with various concerns about what they are seeing not just for president biden's plan, but also how things are progressing. in the moderate wing, they really don't want to vote on -- tom: you ok, emily? emily: yes. the moderates want to make sure any legislation they are voting on will actually pass the senate. progressives are pushing hard. they want a big package, and you heard in that clip there, they don't want to wait for republicans to come up with the negotiating. they don't want to have less from the republicans. they w

jon ferro and lisa abramowicz all.oining the desk joining me -- joining me, matt miller and taylor riggs. maybe this is memphis taking a song from a number of years ago. there is a bridge in memphis that does not work across the mississippi river, across i-40. that bridge is down and down for good. infrastructure is front and center. how are we going to get it done to create jobs in america? >> there are two different things to look at today. number one, president biden needs to get shelley capito, she has been leading republican in these negotiations. yesterday, we saw the white house again tried to say we are trying to find a way to work with republicans and here is what we will propose. president biden said do not look so much at that 28% corporate rate to pay for this agreement. look at a minimum corporate rate of 15%. they see it as regardless of how many -- tom: did the senator from delaware walk away from the liberals yesterday? emily: there are progressives who are increasingly frustrated. i think you are talki

romaine bostick doing it again for jon ferro today.e will get to the meme of the moment with bostick. we've got to look today and to washington, and the pageantry of the president and dr. biden moving across the atlantic to the united kingdom and the g7 meetings. lisa: the importance here is the idea that president biden has been trying to shore up the alliances that traditionally have been the mainstay of the u.s. international policy at a time that that role has been highly diminished as far as the global leader after president trump. we are looking for any kind of inclination as to what concrete steps allies will take to counter china. tom: the backdrop here is the market. we will do the meme thing with romaine in a moment. we may get a 1.49% handle on the 10 year yield, unimaginable. lisa: unimaginable because we are seeing inflation expectations and inflation surprises come in at the hottest paste in 13 years -- the hottest pace in 13 years. we got china production input prices rising to the highest since 2008, the fastest pace. a

tom: john williams with michael mckee and jon ferro. an important interview.nally red. an optimistic red. stay with us. this is bloomberg. ♪ ♪ ♪ look, if your wireless carrier was a guy you'd leave him tomorrow. not very flexible. not great at saving. you deserve better... xfinity mobile. now they have unlimited for just $30 a month... $30. and they're number one in customer satisfaction. his number... delete it. i'm deleting it. so, break free from the big three. xfinity internet customers, switch to xfinity mobile and get unlimited with 5g included for $30 on the nations fastest, most reliable network. look...if your wireless carrier was a guy, you'd leave him tomorrow. not very flexible. not great at saving. you deserve better - xfinity mobile. now, they have unlimited for just $30 a month. $30 dollars. and they're number 1 in customer satisfaction. his number? delete it. deleting it. so break free from the big three. xfinity internet customers, take the savings challenge at xfinitymobile.com/mysavings or visit an xfinity store to learn how our switch squad

romaine bostick in for jon ferro, and lisa abramowicz. help but note every step of this trip, including how he walks with the queen of england, will be as compared to president trump. there will be a comparison made every step of the way. terry: i think that's true. what is likely to come out is resident biden is a lot of things -- is president biden is a lot of things, but one of the things he is his very comfortable in his own skin after a lifetime in the public. you were talking earlier about the style being important. that is kind of relaxed, but focused at the same time. it will generally go over well. as depressive or terry said yesterday and i thought it was entirely appropriate, the idea that he gets to look people in the eye for the first time as president, and any group of leaders gets to look at each other in the eye and person for the first time in over year. . it is hugely important. i don't want to over dramatize this, but it is not too much to say that there's is a potential inflection point here geopolitically. that is pro

jon ferro off today. romaine bostick tolerating us for another hour.e really have to focus on the markets, what is going on with 10 year yields in particular. the idea that we have been talking all year about inflation picking up, about whether perhaps the fed is staying on hold for too long, and here you have the 10 year yield down to 1.54%, a material shift lower. tom: that is absolutely extraordinary. what percentage of the zeitgeist is that pushing against? lisa: it is massive. tom: i think that is the right word. lisa: when you look at the camps, they are deepening. you have the likes of bill dudley on one side, and a whole host of professionals including no -- including nobel laureates saying the fed has it exactly right in the markets right now, saying the fed does seem to have it right for the time being. tom: the other thing i would look at besides bitcoin a bit off is within the data blur, the quiet of the fx market to me is really important. i loved when one of our guests said mom is the fx market and dad is the debt market. i thought that w

jon ferro off. romaine bostick very much in.ountdown to the fed seems to be the theme of the week. the question is whether we get any hawkish rhetoric, but perhaps the biggest question is just hurry up and wait for a certainty that just isn't going to come for months down the line. tom: i am going to the land of romaine bostick, and that is the massive mystery here will be not only the earnings season, but the reset to q3 and q4. i look at q3/q4 is a complete and total mystery. everyone on wall street will be listening to those corporate reports. lisa: in the meantime, that is why the stock traders are looking to the fed because there's not a lot of other data. earnings have slowed now. what is your view on how sensitive stocks are at this point to the fed that could talk about thinking about talking about thinking about tapering? romaine: you saw a crawl to that record high last week, but it really was a crawl. a lot of traders and investment strategists are saying we could see a little more of a hawkish tone, and that you need

right now, the 10 year yield at -- jon ferro is off today.rilled kailey leinz could join us this morning. what we are trying to do in the markets is give you a cross-section of views across assets. ira jersey will be joining us, scheduled in a bit. james foley at the last moment has come on board from rabobank. really pleased james foley -- pleased jane foley could join us today. all of this action dovetails into the banks. there's never been a crisis like this in the career of gerard cassidy with rbc capital markets. he has seen this before, angst and handwringing. what does all of this uproar mean for the big ask? gerard: you are right, we have been through a number of different cycles, and each one has a different side to it, but this one is quite interesting because we have not seen this low rate environment persist for so long, particularly on the long end of the curve, with the likelihood of inflation heating up to levels possibly we haven't seen in over 25 years. so the industry right now is grappling with an excess amount of caused by

we quote that for jon ferro. lisa: wicked. tom: stay with us on radio, on television.itika: with the first word news, i'm ritika gupta. just a few minutes from now, we will get those latest numbers on inflation in the u.s. the consumer price index is out at 8:30 a.m. your time. according to the -- a.m. new york time. according to the bloomberg economic index, inflation will hit 4% for the year ending in may, the highest since august 2008. the u.s. and china have agreed to push forward trade and investment links. that came out of the first call between commerce ministers from the who countries -- from the two countries since the start of the administration. the u.s. plans to buy 500 million doses of pfizer's coronavirus vaccine to share internationally. the word came as president biden prepared to join other group of seven leaders in a campaign to end the pandemic by disturbing shots worldwide. g7 leaders have gathered for their summit in the u.k.. more problems for deutsche bank as it heads into the second half of ceo christian sewing's turnaround plan. germany's bigge

jon ferro off today. romaine bostick with us here.ing at really fascinating yield markets. we will get to that in a moment. futures up six, dow futures up 72, and the vix stunning, down to 15.79. that is not a small matter to see here at 7:30 wall street time. is a changed equity market a better equity market through the days? with a better look at individual stocks, romaine bostick. romaine: let's start off with apple. a lot of speculation about that apple card. a lot of doubt -- that apple car. a lot of doubt about whether that thing will ever get built. the man who left bmw to start his own ev company, he is now joining apple, providing reassurance that apple is committed to developing some type of electric vehicle. we have not seen any designs or timetables for when this might be done. keep an eye on snowflake here. an investor day yesterday. some of the guidance seen as a little bit conservative by some of the investors. that's why you are seeing shares lower. chewy also talking to investors yesterday and out with numbers. overal

taylor riggs and romaine bostick in for jon ferro and lisa abramowicz.ng us now, josh wingrove is on the lawn of the white house this morning, our white house correspondent josh, i think of -- i think "the washington post" had it beautiful. it was a photo of the gentleman from oregon, a personification of what the democrats face. he won like 110% of the vote in the 1990's and his oregon district. last time around, he barely won because of the coming on of the republican party. how does that dynamic fold into this infrastructure and transportation debate? josh: absolutely, he's been an advocate for infrastructure. democrats believe their path to winning or holding onto things in the midterms is typically to get things done. regardless of whether that will deliver them the midterms or not, they figure they might as well get things done because the alternative is they lose and they won't be able to get much done at all. so we have seen joe biden continue to negotiate. he's going to talk to senator capito today. maybe we'll get a bit of an update, but i woul

jon ferro out. romaine bostick very much in. the focus very much on the federal reserve, even as president biden engages in diplomacy throughout europe. the question really is domestic, which is how hot will the fed allow inflation to run. tom: you are absolutely dead on. it is in one part the gdp numbers, and what it means for earnings and corporations into the mystery of q3. a really strong set up for the fed meeting this afternoon. lisa: i am struggling to understand the market's wish with respect to the fed meeting today. a growing concern of financial stability risks. the longer the fed waits, the more of a policy error they will commit later. tom: it comes down to a word from another time and place, which is overshoot. i really have trouble thinking about an overshoot with the millions unemployed in america still. lisa: that is the reason why increasingly, markets are coming around to the view that inflation will remain lower for longer. once we get this pop, it will revert back to a lower than normal regime. you are seein

jon ferro is off. on apple, and a controversial call, pierre ferragu is at state street research. a lot of people are more optimistic. you really push against the optimism on apple. why? pierre: it is really the question of the flipside of apple's success in the last 20 months. the company is on its way to shift to 100 wonde -- to $130 million this year. most consumers have been stuck at home, not traveling, not going much to restaurants. so consumers have been spending a lot of money on high-end consumer electronics, and this has been heightened significantly. what we keep in mind is it is happily displaying on a fairly closed garden. there are so many users, so when you have 230 million of them eyeing your new phone in the last year, that creates anticipation in the market for next year. we anticipate that the next nine of 12 is probably going to be not as innovative as the previous one, and then you have multiple in the market with the new iphone, and people will be going back and restaurants, so th

tom: folks, jon ferro delivered the goods on brexit. the shock of brexit was on 14 hours straight. i was at charlie's. jonathan: i know where you were. i've talked about that story many times. our member sitting in front of the bloomberg with you, and what was important about that moment, it felt like a moment, like something big was happening, and then the clock just started ticking and nothing happened for years and years, and here we are. the pound against the u.s. dollar, the low is !.1485. that had nothing to do with brexit whatsoever. lisa: the idea that the united kingdom had a much better response to the covid pandemic than the continent did in terms of vaccination. i wonder how much that changed the dialogue. jonathan: without a doubt, when it came to some -- to signing some of these contracts, it had a massive boost of support to brexit, in a way -- it underlined the ability of the u.k. had to act alone and the be accuracy -- and the bureaucracy that has held back europe for quite some time. we want to see the whole world get vaccinated but the u.k. secured of contracts a

. ♪ jon: i'm jonathan ferro. this is "bloomberg real yield."t is time for the auction block where we kick things off stateside in the united states, as this week was the treasury all kittens are facing seven-you're not -- seven-year notes despite earlier in the year. bnp paribas, gaucher bank leading weekly sales. an high-end debt in force. 9 billion this week, pushing volume 234 billion. joining us now is matt hornbach, margie patel. i want to pick up the high-yield issue. one point $8 billion of junk bonds with a record low coupon, and that record low coupon, a yield of 2.54%, according to a person with knowledge of the matter. i should emphasize this is where people predicted we would be in march of last year talking about what would happen to the credit market. i want to get your reaction to that, where we now have a record low yield, a record low coupon in high-yield markets, and when we talk about 2.45%, 2.5%, margie. margie: for many years, decades in fact, the high-yield market was cheap. right now, defaults are running in low single di

tom: jon ferro off today. romaine bostick into assist. i've got to get up to speed on the meme-ishness on this monday morning. if that done? romaine: at least for now, it looks a little bit less meme -- a little bit less meme-ish nationals a bit less -- a little bit less meme-ish this morning. . tom: romaine and i went back-and-forth friday and decided orange was the color of our bowties today. lisa was tasting wine or something this weekend. [laughter] lisa: it's true. tom: we welcome all of you this morning. seriously, gamestop, joe feldman walks away from it and kelsey advisory group. is anyone else walking away from amc? romaine: pre-much all of the analysts are relatively bearish on this. into last week, the highest price target was like $6.50, and yet couple of folks down at a dollar here. the fundamental bearishness at least among sell side analysts is still there. as far as the euphoria among retail traders, i think you're seeing volumes come down this morning, at least relative to what we saw over the past couple of weeks. whethe

romaine bostick in for jon ferro this morning. i want to go from the uproar on negative

jon ferro and tom keene off today. markets are reassessing perhaps the concept of reflation.been faded, and now the question is how far does it have to go. we see futures deteriorating a bit on the s&p. the nasdaq pretty much flat on the day. the dollar a little weaker today after five straight days of strengthening come of the longest stretch going back to march 2020. crude a little off the highest level since 2018. the idea that longer-term yields are coming in on this that idea that perhaps they could be more hawkish in the near term. basically, they hike rates in the near term. that slows growth and potentially gives more of a sense in the bond sector that there could be value there. i wonder how far this has to go, and how much, if you talk about the second derivatives, you could talk about whether people are going to start saying the bond move in and of itself may convince the fed not to move too early. taylor: can we do derivatives at 7:30 a.m.? i guess so come -- i guess so, considering it is 2:00 p.m. in london. you hit it spot on. we get a note from ian lyngen of bm

jonathan ferro and lisa abramowitz and jon ferro. -- and tom keene. the american labor economy, matt miller in for john. -- jon. today is a day we finally get a sense of the american labor economy. lisa: right. adp report and jobless claims. the idea is how much momentum is behind the hiring surge we have seen. however not as big as previously expected. really today i think the theme will be inflation all around. wage inflation and price inflation. tom: it will be price inflation on what we see and we all see it at the grocery store. that miller, are you seeing inflation in germany? matt: i have to be honest and tell you i don't really pay attention at the grocery store. the one thing i'm seeing here is pollution, and there was a great headline across the bloomberg terminal, an eu court ruled against germany that it has not done a good enough job keeping its cities clean. that was a really interesting -- that was really interesting, not a market moving issue, but fascinating. in terms of european stocks, we are watching the new relationship between bi

romaine in for jon ferro through this hour. for watching on bloomberg television, listening on bloomberg radio. our team in europe and brussels, and we are watching these markets, with the dollar fractionally stronger over two days. nicely stronger. the end, 1009. -- the tens 1.49. this is bloomberg. ♪ ♪ ♪ look, if your wireless carrier was a guy you'd leave him tomorrow. not very flexible. not great at saving. you deserve better... xfinity mobile. now they have unlimited for just $30 a month... $30. and they're number one in customer satisfaction. his number... delete it. i'm deleting it. so, break free from the big three. xfinity internet customers, switch to xfinity mobile and get unlimited with 5g included for $30 on the nations fastest, most reliable network. (announcer) do you want to reduce stress? shed pounds? do you want to flatten your stomach? do all that in just 10 minutes a day with aerotrainer, the total body fitness solution that uses its revolutionary ergonomic design to help you maintain comfortable, correct fo

lisa: jon ferro loves the dow. he tries to put that is much as possible. keene tries to hide the dow. we are looking at the nasdaq up about 20. the s&p up a little. no trauma. it has been up in the green all morning. the 10 year yield coming down a little bit more after the disappointing spending data. still core pce coming in at an annualized 3.4% rate. well above the 2% yield we are seeing -- the 2% rate the federal reserve is looking for. coming up will be speaking with libby cantrill, pimco head of public policy. that is at noon. taylor: space. i want to go to space, lisa. lisa: this is bloomberg. ♪ (announcer) do you want to reduce stress? shed pounds? do you want to flatten your stomach? do all that and more in just 10 minutes a day with aerotrainer, the total body fitness solution that uses its revolutionary ergonomic design to help you to maintain comfortable, correct form. that means better results in less time. you can do an uncomfortable, old-fashioned crunch or an aerotrainer super crunch. turn regular planks into turbo planks without getting d

romaine bostick in for jon ferro. the equity markets right now. 19.15 on the vix as well. what we know for certain is it is a single digit actuarial assumption, and it has been wrong, wrong since time began. david wilson looks back your to date -- looks back year to date, and you go, hmm. dave: exactly. that's what i did in my latest chart of the day. looking at years in which the s&p 500 rose between 10% and 15% through may, just to get an idea of how the rest of the year went . there have been 10 instances before this year to resolve moves within that range over the first five months of the year. on average, the s&p 500 rose another 11.5% in the final seven months of the year. in other words -- tom: so when idiot like me in the triple leveraged all-cash fund should load the boat? dave: i don't know if load the boat is necessarily the case, but we have stocks down the have kind of stalled out lately. so for some people perhaps it is an opportunity. by the way, the s&p is 10 for 10 when it comes to rising in that fina

tom keene, lisa abramowicz, kailey leinz in for jon ferro. people reassess the fed message last week and look ahead to what the economic outlook really is, given the fact that we are reopening, and get the fed is concerned about inflation. tom: the end of june and into the end of the second quarter, it is unusual uncertain. i would just say you've got to be riveted on every fed speaker today as they recalibrate and comb the market. lisa: jim bullard wasn't very calming on friday wayne spooked -- when he spoke with cnbc on how he would like to raise rates by the end year. does this mean the fed could potentially -- by the end of next year. does this mean the fed could potentially tighten in six months? that is not being priced into the market. tom: kailey leinz, you have been living this this morning. it was read on the screen, and we have really turned it around, haven't we? kailey:kailey: it was an uglier picture at 3:00 a.m. but yes, it was a red day for the equity market. you are seeing that bid into the long end of the curve, a similar st

matthew miller in for jon ferro today. romaine bostick has landed.look for him here in the next hour. the data is mixed. the vix speaks volumes. 16.55 and a record high and the surge in the nasdaq yesterday as well. the 10 year yield at 149. we are all waiting for the economic data to give us an indication to that important fed meeting tomorrow. right now, a really important conversation. not long ago and far away, but a number of years ago, my book of the summer was a sleeper. i did not expect the excellence of stewardship by john taft. he is baird vice-chairman, a legacy of american politics and wall street. it was a primal caused by john taft about the state of wall street. we are thrilled that we can revisit with john taft on stewardship. john, a year ago, i opened the wall street journal and one page with retrading and the next page with retrading and the page after that was free trading -- everything is free now and look at the mess we're in with order flow. how do we extract ourselves from all of the disaster we have seen from order flow, back

romaine bostick in for jon ferro this morning.eople emailing in, get romaine on to give us the meme update. romaine: that's why i'm here. [laughter] tom: the major news item out of cornwall, where the u.s. did a formal statement to the united kingdom about a week ago. really concerned about northern ireland, the republic of ireland and such. within the last three hours, disputing the report in "the times of london," jennifer jacobs. the official said the united states is not planning to issue any official rebuke over northern ireland. that's one way to start things off. lisa: he's meeting with boris johnson, so it would be a surprise to come out with some sort of major rebuke today ahead of those negotiations. that said, still so many tensions underpinning these meetings. that cannot be overstated because honestly, even post trump, there are some remaining tensions. tom: a new atlantic charter. i'm not sure they will get in front of the prince of wales, the military pride of the united kingdom, for the signing of a new atlantic ch

guy: bloomberg's mike mckee and jon ferro speaking exclusively to new york fed president john williams. i can joins us now from boston. there's been a huge amount of noise around the fed over the last few days, post to the meeting, post the press conference. then we got bullard, then we got kaplan. now we are starting to hear from senior management at the fed. we just heard from williams. we will get powell later on. what was your take away from the conversation? put it in context with the other conversations that have been happening in and around the fed over the last few days. michael: i think you put it right. we heard from the fed bank president, some of them who are more hawkish, and many of their views are formed by the economic conditions they see in their area, but it is really the center of the fed that chair jay powell, vice-chairman rich clarida, and vice-chairman of the open market committee john williams who will carry the day. williams was anxious to say we realize that inflation has gone up, but it is not out of control. we are keeping an eye on it. we will act when we n

matt miller will have a lot on that, sitting in for jon ferro today. all of the events in cornwall, our guide there with jennifer jacobs and josh wingrove. lisa and i don't care because we are looking at the markets, which has a life of their own, and that would be the inflation numbers. let's get away from the international relations for a second and frame out the curiosity of inflation in america. lisa: the exploitation -- expectation is for another landmark figure coming out 8:30. the idea is we will see the pace rise, the flask -- the fastest inflation print since 2005. even in japan, facets inflation -- fastest inflation since then. the fed is correct and it is transitory. i wonder what will change that. tom: we will see the data. michael mckee will help us. before that, michael mckee will keep us -- help us out with an ecb meeting. don't tell me it's a snooze fast. matt: i don't think it is at all. it's interesting the ecb is targeting inflation close to but less than 2% where the u.s. is looking to overshoot. i want to see if they get on the sam

romaine bostick infra jon ferro with the bull market. what is the color of the bostick bull market?een on this

jon ferro, we sort of missed it the 6:00 our this morning, what is your observation here of this exceptional victory of england? jonathan: i was surprised, but the players got it done. raheem sterling. to be the best player at the moment on that england team. you have to imagine on that half of the draw, i think it is easy to say they are the favorite to get in the final. tom: but seriously, do they play italy at some point? jonathan: that would be a final. italy played belgium on friday. they play the winner of spain, and i believe they play switzerland, so the clutter on that side are the stronger teams than the other side of the final. that is what the bracket looks like right now. tom: let's look at the data right now. equity markets. i'm sorry, that was the close we saw yesterday afternoon. jonathan: it was a squeeze. another all-time high, just about. a fourth straight day of gains on the s&p. yields are coming in the basis point or two to 1.4528%. your 10 year, yields down on the day and on the quarter. in the fx market, a break of $1.19. we come in 0.1%. magnus macro on twitter, i am

particularly thrilled that romaine bostick is with us today, sitting in for jon ferro.ots going on in geneva, switzerland. the news flow is extraordinary. i don't know how to dovetail the meeting in the fed meeting together, other than to say it is a world in recovery from pandemic. lisa: the other way to dovetail them together is that there are so many meetings going on that have to do with geopolitical issues, cybersecurity, how to deal with competition around technology. it he cares in markets. everyone is watching the fed. they want to know when they will buy fewer bonds each month. that is going to move markets more than any rhetoric, and that says a lot. tom: pretty much on schedule meetings. mr. putin lending a bit ago at the geneva airport. a motorcade to the villa le grand. right now, we need to address the markets. romaine bostick, i would suggest the stasis of the markets into this meeting. romaine: stasis is certainly the right word. we have seen a bit of a holding pattern for the last week and a half. even if we don't get any meaningful change in policy, or

. >> this is "bloomberg surveillance" with tom keene, jonathan ferro, and lisa abramowicz. jon: record highs into the weekend. good morning, good morning. this is "bloomberg surveillance" alongside lisa abramowicz i'm jonathan ferro. tom keene is out of the building. equity futures of five on the s&p, 42.6 one. alisa, we have a deal down in d.c.. lisa: this came as a surprise, not only did we get a deal but larger than expected. 570 $9 billion for infrastructure, traditional brick-and-mortar. the question is, can they get it through and get 10 republican senators on board? jon: in the market -- and the bond market we have tumbleweeds. yields did nothing off of the back of this. lisa: that's amusing to. a lot of people have been saying this has been priced in but this is significant, the fact they are getting something done. it is feasible and larger than what some people expected. democrats are still talking about additional spending yet nothing. what is this? jon: what you make of that, taylor? taylor: some interesting conversations we had yesterday, it's the market not pricin

ferro, and lisa abramowicz. lisa: a new paradigm of ever lower rates. good morning. this is "bloomberg surveillance" on bloomberg radio, on bloomberg television. jonff or get romaine bostick very much in -- jon off. romaine bostick very much in. a new paradigm of international relations. i know i am just killing you with all of these references to the paradigm shift. tom: a paradigm act shift, you are killing me. [laughter] lisa: the g7 meeting very much front and center, the paradigm of international negotiations. tom: the paramedics friday -- the paradigm attic friday. jennifer jacobs, please come on air and tell us about this weekend. with is a friday in the summer, but seriously, it is the shock and awe of where yields are. do we have a y beside short covering -- a why beside short covering? lisa: the idea is that transitory is the way to go. you can go ahead and drink. you can see at and stocks as well. people starting to shift their view of inflation to something more in line with what the fed is thinking. romaine: we should point out too, the bond market has been nudging in this direction for quite some time. i thing it was the equity marke